Benefits to the Seller

• Buyers come prepared to buy
• Quick disposal reduces long-term carrying costs, including taxes & maintenance
• Assurances that property will be sold at true market value
• Exposes the property to a large number of pre-qualified prospects
• Accelerates the sale
• Creates competition among buyers - auction price can exceed the price of a negotiated sale
• Requires potential buyers to pre-qualify for financing
• The seller knows exactly when the property will sell
• Eliminates numerous and unscheduled showings
• Takes the seller out of the negotiation process
• Ensures an aggressive marketing program that increases interest and visibility.

 

Sellers - Questions and Answers

Why should I sell my property using the Auction Method?
Selling your property using the Auction Method would accelerate the sale of your property by generating additional consumer interest and activity. Advertising a property for auction creates a sense of urgency, bringing all interested parties together on one specified day.

What types of property do you sell?
We auction all types of real estate - Residential, Commercial, Land & Investment. From waterfront, condominiums, townhouses, single-family dwellings, acreage, vacation properties, commercial to high-end premier properties, auctions have been successful in all of these categories.

How will my property be marketed?
A key advantage of auctioning real estate is the benefits of customized advertising and marketing programs. Auction marketing typically consists of print advertisements, targeted direct mail, e-mail marketing, property signs, and web listings on our website, including NAA Live. We have marketing professionals producing all advertisements and marketing material, with an eye toward highlighting you property's strongest features. What this means to you is that your property is exposed to the widest possible buyer audience, thereby increasing you possibilities of a successful sale at the highest possible price. In an area where multiple homes or other properties have for sale signs in the yard, the property with the AUCTION sign will garner most of the attention.

I am not in financial trouble, and I am concerned about what people may think if I should auction my property. Can you give me any insight on this?
You are not alone in your concerns. Many people are afraid of the old, outdated perception of auctions that some people have. There are great differences in the marketing and the public image of a voluntary, 'by choice' auction, versus a distress auction. Our auctions are positive, enthusiastic events designed to generate competitive bidding to secure the highest possible market price for your property.

I am concerned about the net amount I will realize from the auction, and my ability to cover my existing mortgage. What advice do you have to offer on this?
We understand your concerns and your need to cover an existing mortgage on your property. Auctions are designed to accelerate the sale of property by determining what the market is willing to bear. On auction day, the market will determine what valuation is acceptable for your property.

The fact that you are selling at auction does not change the market value of your property. In short, if the market value is at a level below your existing mortgage, then that is the price that you have to work with regardless of whether you use the traditional method or the auction method to sell your property. Our company specializes and has a separate division which specializes in short sales which is defined as negotiating with the lenders to accept less than the mortgage amount due on a sale when we submit an auction contract. Under certain hardship circumstances the lenders are willing to work with the sellers to achieve a successful closing.

Who pays the Auctioneer's commission?
The Auctioneer is paid via the buyer's premium, which is added to the buyer's final bid. There is no commission charged to the seller. The seller is only required to invest in the advertising and expenses of their auction event. This way you can be sure you receive the maximum advertising exposure possible for your property. If all the advertising investment is not fully used, whatever is remaining will be refunded back to you at closing.

The property is priced below the market right now. What is this going to mean if I list it for auction?
We find out that often price is not the issue in determining why a property has not sold. Many times the reason that a property has not sold is that there has not been adequate traffic to view the property, and therefore, not enough interest has been generated in order to sell the property. In other words, it has become "stale' on the market. The auction process is the best way to revive interest in the property and instill the excitement for it that will result in a positive sale.

Will we still have to consider contingent contracts?
Everything that we sell at auction is sold "as is" and "non-contingent," with a 30-day projected settlement date and the buyer paying all allowable closing costs associated with the sale.

Where will the auction of my home be held?
We hold most auctions on-site. By being on-site, bidders are constantly reminded of the positives associated with that particular property, which, in turn, can encourage a higher bid.

Does "as is" mean that I do not need to disclose any know defects?
Though we are selling "as is," we must abide by applicable state and federal laws. The Broker-Auctioneer will offer full disclosure to all interested parties in accordance with the law.

Can I attend an auction before agreeing to sell my home through the Auction Method?
Certainly. In fact, we encourage your attendance so you can experience a live example of the auction process firsthand. Check our Upcoming Auctions schedule on our website or give us a call at 916-446-8975.

How do I sign up for auction?
Call us today to set up an appointment to view your property and determine whether it is appropriate for the Auction Method of sale or e-mail us through the web site. If your property is listed with a real estate broker, ask them to refer your listing to AUCTIONHOUSE REAL ESTATE DISPOSITION SERVICES and the broker will be compensated. Have them view the realtor section of our web site.