Auction vs Negotiated Sale

Our company sells property by auction and by negotiated sale. We believe an auction is the best manner of sale for many people. The reason for choosing the auction method to sell your property may be the same reason people have been auctioning fine thoroughbreds or precious works of art for hundreds of years. The reasoning is that the property appeals to persons of wealth and since your property may appeal to a broad group of buyers and may also be prime in its location and appeal, bidders don’t really know how much they would be willing to pay until forced in a face to face competitive auction. An auction would also allow you to sell the property and have all transactions closed in as little as 30 days. Other Advantages Of An Auction…

  1. Larger ads with more graphics, details and wider coverage in a concentrated period of time generates more buyers.
  2. You determine the exact date and terms of the sale so you can plan ahead with the cash.
  3. Auctions cause people to take action on your property.
  4. Convert surplus assets into cash thereby stopping payment of taxes, insurance, interest and maintenance.
  5. At auction, there is no extended showing and selling period that allows the property to become stale on the market.
  6. Utilize emotion, enthusiasm and psychology to your advantage.
  7. An auction brings all prospective purchasers to one focal point to compete for your property.
  8. The list price is almost always negotiated down, whereas the auction price is the highest price the top competing bidder will pay.
  9. Auctions many times result in more money than a negotiated sale.