I was trying to do some investigating about real estate auction and if they really work. Has anyone had any luck with the auctions and have their clients been satisfied with the results from the auctions. I have a couple of clients that are interested in auctions and I want to be able to send them to the best auctioneer possible. Has anyone had any luck with a auctioneer and who? How does auctioneer work with short sales?
www.thinkrealestatethinkclark.com
I've heard nothing but sob stories about "auctions". Frankly, I would rather have my client work towards buying a short sale prior to advising them to move forward with an auction property.
Cameron Novak
Corona Hills Real Estate Broker
The Homefinding Center
Corona, California
951-212-7479
Corona Short Sale Agent Profile
I have been to the last three auctions that Fox Residential had. Two of the three sold. I was only a spectator, so I don't know how happy the sellers were. I may be mistaken, but I don't think you can combine an auction with a short sale. I guess that is a question for the bank involved. The best auction success comes when there is no reserve. This is a scary prospect for the seller, but Fox has investors that will already be on board to bid, so the house won't sell for a dollar. The no reserve brings many more bidders, and that means a likely higher final bid. Also, a no reserve auction means the seller doesn't have to front the advertising cost.
For a short sale, a sales strategy is to lower the advertised price on a regular basis. In this way, it is like an auction. When finaly someone puts an offer on the property, you can make a strong case to the bank that this is a market price. People had ample time to make an offer when the property was advertised at the higher prices. They didn't bight, so those prices were too high.
Good luck.
David,
I have never been a fan of auctions, but as Peter mentioned, some of the auction companies can get the job done better today than in years past, but not sure about short sales, like Peter!
Good Luck
I am a little hesitant about these auctions. I am not sure if they are the way for buyers to purchase.
I think that real estate auctions have the best chance of being truly successful when they are online. These days, more and more people do their research about real estate online, so it makes sense to provide a platform with which they can make the logical next step and buy a home online. My experience at LFC Group of Companies, in Newport Beach an online real estate auction marketing firm (www.LFC.com (commercial) and www.FRE.com (residential), is that buyers get excited about auctions and that, due to the set bid deadline, they feel a sense of urgency to buy that they do not feel with traditional homebuying methods.
So my suggestion would be to look into auctions online--you can reach a wider audience, get more people involved conveniently, and execute the auction more closely to the seller's desires.
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