When it comes to buying and selling real estate you have more options at your disposal than you may have previously realized. In the past few years for example, selling real estate at auction has proved to be a lucrative investment for both real estate investors and sellers. Many auction services including Central Texas Auction Services have seen a steady increase in the number of homes brought and sold through auctions. Live auctions have become popular in areas including Texas, and according to real estate professionals, auctions are a smart way to sell homes for both buyer and seller.
Pros of Auctioning a House
Selling property at a real estate auction means that you can liquidate your property quickly while creating competition among buyers. Auctions also create the perfect environment to expose the property to a large number of potential buyers while reducing the amount of time that the property is on the market. The auction process also eliminates the need for negotiating; essentially allowing the property to be sold with terms and conditions specified by the seller.
Reasons to Sell Your Home via Real Estate Auction
1. There is no cap in a competitive market: Think of it this way, there is no cap when it comes to a bidding war and according to the knowledgeable experts at Central Texas Auction Services, auctions naturally inspire a feeling of competition. Speaking from a statistical standpoint, people are more inclined to spend more time at an auction than they would as part of a negotiated sale; especially in a competitive market.
2. Save time and money when the real estate housing market is slow: Auctions are also a great avenue for slow markets especially when you have to sell a property quickly. Say the housing market is decreasing 4% every month, and you are only decreasing by 1%, you will always be at a deficit with the changing market. When this happens sellers often get into a rut with homes sitting on the market for years. When you auction your property you are avoiding the risk of your home just sitting unused and instead securing your home to sell at its true value.
3. An auction attracts serious buyers: While it can be said that auctions attract investors that have large amounts of capital at their disposal it is also not uncommon to see bidders hoping to purchase a home of their own. In fact for many buyers it’s not so much about getting into a competitive market but instead finding a property that they can make their own with some tending loving care.
4. You know the exact date your house will sell: Property sitting stagnant on the real estate market can be expensive in terms of carrying costs. On the other hand, selling your home at an auction can not only expedite the auction process, it can also give you the luxury of knowing the date of the sale so that you can budget appropriately. Property sellers can avoid the high costs associated with real estate such as taxes, mortgage payments and home maintenance by budgeting for an exact sell by date as opposed to listing a property; and hoping and waiting for it to sell.