Advantages For Sellers

WHEN IT IS TIME TO SELL YOUR HOME IN MARYLAND, HARFORD COUNTY, BALTIMORE COUNTY, CITY…YOU WANT TO MAKE THE RIGHT DECISION!
Making the decision to sell your Home or Real Estate can be stressful. Making the decision of HOW to sell your Real Estate can be confusing and stressful. The decision you make can impact the return you receive on your invested dollars in several important ways. At Advantage Real Estate Auction Sales we realize what an important business decision this is for you. We have been there!

FOUR METHODS OF SELLING

"BROKERED LISTING"
You list the property with your local real estate office. Listing can be time-consuming and inconvenient. Unscheduled and unplanned for showings, requiring that the property be in a constant state of model home preparedness. Unqualified buyers who just want to see how you live. Closing dates are up in the air because you don't know when it will sell. Negotiations can drag out while the buyer tries to wait you out. The buyer is usually in control.

"FOR SALE BY OWNER"
You prepare the property. You write the ad, you have photographs done, you design the ad, you have the film made, you place the ads at retail cost, you take the calls, you try to pre-qualify the calls, you send out information, you follow-up, you try to schedule the appointments, you show the property. You wait. You place more ads. The Buyer is always in control.

"INVESTOR SALE"
Either through brokered sale or "For Sale by Owner" you choose to discount the property heavily and sell to an investor. This method can cut carrying costs and significantly reduce the selling time.

"AUCTION SALE"
The Auction method is enjoyed by thousands of homesellers each year who watch their properties professionally marketed both locally and regionally, eliminating the frustrations of the other selling methods and retaining the benefits.

TYPES OF AUCTIONS

17. What are the different types of Real Estate Auctions available to me?
18. Essentially there are three types of auctions:

ABSOLUTE AUCTION (or auction without reserve)

1. The property is sold to the highest bidder, regardless of the price.
2. Since a sale is guaranteed, buyer excitement and participation are heightened.
3. Generates maximum response from the market place.
4. Many sellers, including financial institutions and government agencies have begun to use this method more frequently.

MINIMUM BID AUCTION

1. The auctioneer will accept bids at or above a published minimum price. This minimum price is always stated in the brochure and advertisements and is announced at the auction.
2. Reduced risk for seller as the sales price must be above a minimum acceptable level.
3. Buyers know they will be able to buy at or above the minimum.
4. The seller may, however, limit interest in the auction to only those buyers willing to pay the minimum bid price, and therefore it must be low enough to act as an inducement rather than a hindrance.

RESERVE AUCTION ( an auction subject to Confirmation)
In this scenario, the high bid is reduced, in effect to an offer not a sale. A minimum bid is not published, and the seller reserves the right to accept or reject the highest bid within a specified time -- anywhere from immediately following the auction up to 72 hours after the auction concludes. Sellers predetermine the price at which the property will be sold and are not obligated to confirm a sale other than at a price that is entirely acceptable to them. The main disadvantage of a Reserve Auction is that prospective buyers may not invest the time and expense of due diligence when there is no certainty they will be able to buy the property even if they are the highest bidder.

NOTE: For more information on real estate auctions, contact the NATIONAL ASSOCIATION OF REALTORS® Auction Dept. at 312.329.8495 or
Robert B. McArtor, robert@harfordadvantage.com