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Archive for December, 2016

Additional Information For Property Sellers at Property Auctions

Monday, December 20th, 2016


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Various property vendors do not believe in public sale. They don’t consider property auction as an idyllic method to set out off the property. Whereas people also say that property auctions are a massive technique for real estate organizations to trade property. Consequently this is not a great deal for individual property sellers. In fact the reality remains the same that property auction has been fruitfully taking place for more than a few decades.

Most of the people have different opinions and they present their divergent views or judgment. Property auction considered is an easy, visible and trouble-free method of either sales or purchases. A lot of people hold up online public sales as an effortless process since today’s environments is very fast & people are willing to use each movement perfectly. In online auction the final customers do not have to visit the auction place. Clients will be able to know where the public sale is taking place by means of internet.

However it is valuable to know the opposition people for property-auctions when it comes to mainly property sellers. A research has explained that the requirement for home or property at auctions extends always and because of that a great number of properties going under the sledge hammer.

More often the auction methods do not give assurance to the seller about the reasonable market price. Merely after long-drawn negotiations between a potential seller and potential buyer reasonable market price is achievable. The negotiation will happen without any bonding of rules.

Generally the auction promotion permits for a time duration of three to four weeks. Actually this timeframe is very short for prospective buyers because they might have to sell their present residence which may be the foremost concern for them. In addition to the sales of existing home, prospective buyer either may have to do an arrangement for home finance or else raise funds. Seeing to that these potential buyers might not look forward to involve themselves in property auctions in general.

When Public sale’s agents put forward for going to an auction, they might not know, how many buyers possibly will be participating in the auction. Real estate agents rarely have some plan or ideas about the participant. The agents habitually take action in speed and always an ignorant manner.

Only one thing can be thought about the property-auction that when someone desires the house to put up for sale quickly and ready to admit at the lower market price, property auction is the most excellent option. In public sale an auspicious seller sometime possibly will get a great deal and may obtain superior price all the way through aggressive bidding process. Seller can accept the high value when the bidders might slowly but surely boost the value of the possessions.

Andrew Wilson is a SEO copywriter for Property auctions and UK Auction List. He has written many articles in various topics like Property auctioneers, Property auction, UK Property auctions. For more information Contact him at andrew123seo@gmail.com.



Author: Andrew V. Wilson
Article Source: EzineArticles.com
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Everything About Property Auctions

Monday, December 20th, 2016

Property auctions might appear to be a tricky and confusing process for many people. They may find it not completely unconvincing and easy. Even though many people take interest to go for bidding, their enthusiasm dies out as the bidding day gets nearer. Basically the property auctions are methods by which the properties are sold and bought effectively. It has been around the corner for a while but has gained popularity in the recent times. The time aspect of the transactions is the main thing that attracts people to bid for a property at action. If it’s so advantageous, then why do people fear it? Well, it’s because they don’t have a clear idea about the process.

In a conventional real estate agent method, the sales completion take up to 8 weeks and even longer in some cases. So the best method is to just buy and sell at auctions. If you are able to successfully bid on your desired property, the whole process would be done and dusted in just 5 minutes. But the truth is that many people hesitate to attend the property auctions. They would rather turn to a real estate agent to do the deal.

These days more and more people are opting for property auctions for many reasons. Some may want to build up a property portfolio for renting out or to renovate and sell for a profit. Even many people believe that it is easier to purchase their first home than making it. But the fact is that you must clearly understand some basic principles before jumping into auctions.

The whole process of auction begins with the vendor who sells the property based on factors that the properties can be purchased, contracts exchanged and process completed fully within 28 days. The audience attending the auctions should have ready cash. The seller would get a high yield if the property auctioneers are competitive and produce active bidding. The seller has the absolute right to accept or reject the bids. If a person outbids all others, then he wins the bid.

There are different types of properties that would be sold at the property auctions like Repossessions, Private Sale, Government & Local Authority and Commercial. Commonly properties become repossessed following mortgage arrears. When the owner falls into mortgage arrears, the lender evicts the borrower and takes possession of the property. Later the lender sells the property in order to recover the value of the outstanding loan. Many of the properties that reach auction are private sales. People who want to sell their asset quickly among an interested audience by which they would get a maximum exposure go for private sale.

Quite often properties belonging to government and local authority bodies are brought up for auctions. This is because they want to sell the worn out and tired properties to make way for new ones. Developers buy such buildings in cheap rates and convert them to apartments and buildings by giving them a new life. Commercial property bids happen due to company relocation, downsizing or lease holders selling them up.

Andrew Wilson is a SEO copywriter for Property auctions and UK Auction List. He has written many articles in various topics like Property auctioneers, Property auction, UK Property auctions. For more information Contact him at andrew123seo@gmail.com.



Author: Andrew V. Wilson
Article Source: EzineArticles.com
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Why Demand Continues For Property Auctions

Monday, December 20th, 2016

In spite of the economic downward spiral and the prospects of an instant recovery looking depressing, the property auction houses in the UK claim their businesses are performing constantly well. The property auction in the UK remains lively most probably due to the extensive perception that the benefits of selling/buying property at auction be more important than the traditional method of buying/selling.

A property auction in the UK is a usually preferential way of acquiring property for the reason that of the comparatively quick deal and the chance to take holds of bargain properties. Despite of the general dampening of property market in the UK, auction houses have sustained to be boisterous encouraged by property investors searching to purchase properties at less than the market price and waiting to put up for sale them for windfall profit.

Demand for property at auctions carry on unabated with a large number of houses going under the hammer, research has showed. Auctions are held quickly in Glasgow, Manchester, Birmingham, Leeds, London, Bristol and Llandudno, with a collection of properties ranging from family homes and modern apartment house to Grade II listed houses and buildings and land developments.

Auction houses account that three-bedroom properties are in great demand, with real estate developers, buying to rent out to landlords and first-time purchasers all keenly bidding for them. With the fame of property auctions growing at a fast pace, more and more people are joining the bandwagon and bizarrely, even first-time beginner buyers are opting for this path.

The advantages and disadvantages of property auctions can assist you to decide if this is the correct way for you. One of the major advantages of buying at auctions is that you save lots of cash as properties sold at auctions are always to a great deal cheaper than those which are put up for sale in the housing market. An additional most important benefit of buying at auctions is the fast and stress-free transaction with no time is washed out in never-ending negotiations.

Fascinatingly, a new trend known as Dutch auction is presently being practiced in auction houses that a lot of expert’s state that it is bound to grow in recognition. A Dutch auction is a kind of auction where the auctioneer initiates with a high asking cost and slowly reduces it in stages till a member agree to the auctioneer’s price, or till a preset set aside price is attained.

When any of the two options is attain, the winning member pays the settled price. A Dutch auction is mainly beneficial when there is a need to auction a property without delay. The main reason behind this is that with this kind of auction, sales on no account have need of more than a single bid.

Andrew Wilson is a SEO copywriter for Property Auctions and property auctioneers. He has written many articles in various topics like Property Auction, UK Auction List, UK Property Auctions.



Author: Andrew V. Wilson
Article Source: EzineArticles.com
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Guidelines For Today’s Property Auction List

Sunday, December 19th, 2016

If you are hunting out for a property, then a property auctions can be the best place to go and hit upon. It’s a place where you can find properties at a rare price.

To get hold of the listings in UK auction, all that you are required to do is to browse over the Internet as there is lot of websites available to give you the proper guidance for the purpose.

Read carefully the UK property auction listings, you may possibly come across a lot of seized properties, used cars, repossession houses, furniture and many other valuable things. Regardless where you reside – be it in Devon, in Bristol, Scotland, or London – you can reliably find the most excellent auction property listings in the UK in one of the online property listings.

You can as well find out from the UK Government auction listing a number of the biggest bargains offers. The website as well includes a number of useful instructions intending buyers. Get a hold of auction property listings in the UK from a website called Landlord Zone Rental Property knowledge and you will falter up on Discount Property Auctions and a host of other auction sites.

The website World Property Links will give you straightforward access to the property auction listings in the UK. All you have to do is to create an account and get a hold of instant access to hundreds of listings. The benefit is that you can even include to the auction listings if you have a property to put up for sale.

Since 2002, a website named UK Auction List has been giving proper updates of property auction for buyers who desire to find reasonably priced properties in the UK. The appeal is that they as well offer listing services for people who wish to sell some properties.

Do not miss to visit the website Low Watch & AuctionWatch which can be truly described as your single window to other auction property listings in the UK. But the demerit is the listing is not just confined to UK inhabitants but as well to US and Australian inhabitants as well. If you go to UK Auction Help you be able to access a complete directory of UK auction websites as well get a few additional information like news, research tips, listing requirements, and bidding.

If you are not satisfied from the details which you obtain by browsing online for property auctions listings, you can at all times seek out help from local auction listing organization for properties on bidding. There must without doubt be local biddings in your area and you just require knowing the agenda, and make sure you are familiar with the properties you want to pay money for.

Andrew Wilson is a SEO copywriter for Property Auctions and property auctioneers. He has written many articles in various topics like Property auction, UK Auction List, Property Auctions.



Author: Andrew V. Wilson
Article Source: EzineArticles.com
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Property Auctions Are Beneficial For a Sale of a Property

Sunday, December 19th, 2016

When you talk about property at auction whether it will be beneficiary for a buyer and a seller or not it has come to conclusion that if a property sold through an auction both the buyers and sellers are benefited. The process of a property auction is as same as all other auctions. The real estate property is put up for the sale and then there is a gathering of all interested people who wants to buy a property and makes bidding for their desired property. A number of properties are sold or put up for an auction when there is an economic slow down or recession period. A seller sells his house to pay off his bad debts, avoid bad credit histories, or either he is migrating to some other town or city. In this case he wants to sells his property as soon as possible.

A purchaser is very much benefited if he buys a property at auction. The foremost advantage is that he can buy it quickly and also at reasonably priced rates. A day is fixed up for the sale of a particular property. The process of making decisions has to be done quickly whether to bid or not and the lower limit for the belongings is preset. If a individual is paying attention in buying that property he will not linger for the seller to agree to his offer. He will bid for the maximum value.

Prior to the auction the buyer must set up the amount till what he will bid for. The price can either be more or less than the market price. As the buyer knows his budget he will bid accordingly for the property. He is able to be outbid; in this case he does not obtain the property. The purchaser without doubt gains a profit as he needs the property and be on familiar terms with precisely how much he is able to pay for. There are a number of buyers who are in property auction field for a lot of years. They are familiar with who are the challengers. He has to bid in opposition to them. If the buyer is a skilled auctioneer overseeing the procedures and the seller is clear by the regulations of the auction to sell it to the uppermost bidder, yet if somebody later on offers him a high price. In this way the buyer is benefited at property auction.

A seller will not pass the time for a longer period of time to make a deal. The process will be completely in a single day. The individual who needs the property will make a bid; you will be familiar with who the highest bidder is. The seller benefited he can save on upholding costs and duty. If the individual is in balance due, these expenses will be a trouble for him. The entire ambiance will make people spirited and bid at an elevated price then they initially intended. The seller will positively make a superior profit, than if he had moved out to a real estate negotiator.

Nisha is an Expert author for Property Auctions and UK auction list. She has written many articles like Property auctioneers, Uk property auctions, property in UK and Property auction. For more information visit: propertyauctionzone.com contact her at malar.article@gmail.com



Author: Ron Victor
Article Source: EzineArticles.com
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Home Property Auction

Sunday, December 19th, 2016

Prospective buyers can examine auction items before hand which can help sellers to set a minimum price below which they will not sell the property. Nowadays auction is taking place for artwork, antiques, secondhand goods, and farm houses, buildings repossessed by banks or government, and stock and commodity exchanges. There are different types of auction for each category. Jewellery auction are divided into three like 1920 jewellery auction, diamond auction and classic auction. In art there may be modern art auction, renaissance auction and alternative art auction. Likewise even house property auction are divided into commercial auctions, disused home auctions, repossessions, luxury homes auction. The oldest auction was for a bride known as Herodotus, existed in 500 B.C., were once in a year females of marriageable age were sold to the highest bidder. But times have changed; auction takes place through e-commerce or internet, which enables individuals to interact directly with each other electronically. Globalization and market growth is likely to further enhance this prominence in the twenty-first century.

Home auction is gaining popularity. Most real estate auction houses operate in the following way. Auction houses make a list of the upcoming live auction on their website. Prospective buyers register online to participate in the auction. Prospective buyers can have a look at the house for inspection on a particular day prior to live auction. Prospective buyers can make an offer on any home prior to the auction date. If the seller accepts, the home is excluded from the live auction. To participate in live auction, prospective buyers must bring earnest money, often a certified check that ranges from $1,000 to $5000. It is advised that buyers take a home loan upto the maximum amount they wish to bid. Buyers who fail to pay the money will lose their earnest money.

Commercial auctions
Certain developers specialize in buying commercial buildings such as pubs and shops. Commercial auctions help developers to attend only those auctions in which they are interested in.

Disused home auctions
Certain prospective buyers like to buy those type of properties which are in great need of repair. Buyers who are thinking of building a dream house may buy an old, disused home of great size in a good area for a very cheap price.

Repossessions
As mortgager is not able to pay mortgage amount due to rise in interest rates over the last couple of years homeowners are struggling to pay their mortgage amount because of which they lose their home. These properties are sold at rock bottom prices at property auctions so that potential buyers could get themselves a real bargain.

Luxury homes auction
Not only repossessed or disused properties are sold at auction. There are prospective buyers who wish to buy house at auction that are very costly. These properties go for an awful lot of money.

According to an association, gross annual revenue from home auction grew nearly 47 percent from 2003 to 2007. Home auctions, are usually web based and live bidding, which takes place when the sellers were not able to find a buyer the traditional way.

RonVictor is a Expert author for Property auctions and UK auction list. He has written many articles like Property auctioneers, UK property auctions, property in UK and Property auction. For more information visit: http://www.propertyauctionzone.com contact me at ron.seocopywriter@gmail.com



Author: Ron Victor
Article Source: EzineArticles.com
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Overview of Property Auctions

Saturday, December 18th, 2016

Property Auction
Thousands of homes are obtainable at any given time with property auctions, most of which are sold at prices far below market value. However it’s imperative to know the potential issues and problems when dealing with auctions and to understand where the biggest bargains are available. Details of thousands of cheap, repossessed & auction properties are available at Property Auction Bargains. It’s perfectly reasonable to anticipate paying 15% to 40% less for a property at auction than you would for the same property through an estate agent.
Types of Properties:

  • Repossessions
  • Investment properties
  • Rundown properties
  • Unsaleable properties
  • Derelict or in derelict areas
  • Subject to severe disrepair
  • Subject to local authority notices
  • Subject to closing orders
  • Offered with ambiguous legal titles
  • Sold without access
  • Sold with major fencing, paving, drainage or other similar responsibilities
  • Sold subject to covenants or restrictions, which prevent normal use
  • Exceptional properties

Finding property auctions
There are several thousands of properties available for auction at any given time all over the UK. It’s important to understand how auctions work before purchasing a property from one. To find out where you can get hold of a list of UK property auction venues and websites of auction properties for sale take a look at my resource box below.

Property auctions
If you are one of many people stressed to take the first step on to the property ladder then buying a home at auction could be the answer. More than 30,000 properties are sold at auction every year and on average buyers can save up to 40% off High Street prices. Auctions also often offer an extensive assortment of properties for sale, from the standard to the more unusual.

Jacob Christopher is a SEO copywriter for Property auction and property auctioneers. He has written many articles in various topics like UK Property auctions, UK Auction List, Property Auctions.



Author: Jacob C. Christopher
Article Source: EzineArticles.com
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Landlords Looking For Property Auction Opportunities As the Property Market Struggles

Saturday, December 18th, 2016

Landlords looking to buy investment property at a property auction and buy a property investment bargain in these turbulent times of the ‘credit crunch’ should be aware of some of the procedures involved.

Warren Buffet the famous investor and world richest man is responsible for one of the greatest investment quotes of all time. He famously said in connection to investment psychology:

“be fearful when others are greedy and be greedy only when others are fearful.”

If any sentiment might correctly describe the approach landlords should take in the residential current climate this is probably it.

I have spoke in the past about the opportunities afforded to landlords by property auctions.

Property auctions don’t necessarily need to be the preserve of the professional landlord. They can provide, regular property investors the potential to bag a ‘real property investment bargain’, so don’t worry. Despite the myths you will not end up buying a block of apartments by an unsolicited nod at a property auction.

How to buy at a property auction

Firstly a landlord / property investor needs to identify a potential investment property.

There are several ways of doing this:

* A landlord can keep their eyes peeled and find potential investment property in their local property guide
* Register with one of the auction houses such as Savills to get on their regular mailing list so they receive details of their property auctions
* Increasingly landlords are turning to the internet to track down auction properties. Websites such as eig established for professional investors are now available to small scale investors to help them track down bargain properties

Pre -property auction preparation

Unlike the traditional method of purchasing a property through private treaty; buying property at auction requires you to have done all the preparatory legal work prior to the exchange of contracts. This involves a significant amount of up front and ‘at risk’ expenditure as obviously there is no guarantee that you will be able to secure the property through the auction bidding process. There are a number of steps a landlord should take prior to a property auction.

Legals

A landlord should appoint a solicitor who will be able to do the legal checks to make sure the property you are hoping to buy is what you anticipate it is. Because the tight deadlines involved in the auction process, it is advisable to appoint a solicitor or conveyancer that:

* has experience of property auction procedures
* can act quickly

A solicitor’s fees for conveyancing work for auction properties is slightly more than for the equivalent work for a private treaty transaction. Once appointed the conveyancer or solicitor should carry out the following prior to the auction taking place:

1. request the contract, searches and replies to pre-contract enquiries plus a copy of the auction catalogue
2. investigate title and raise any appropriate enquiries and also raise such pre-contract and personal searches as may be necessary, for example coal authority search, local authority searches, etc
3. report to the client on what they have ascertained from 1 & 2 and also advice them of the deposit amount they must take to the auction
4. a few days before the auction, see if there are any amendments with the sellers solicitors or auctioneer and if so relay these to their client
5. recheck the details from the sellers solicitors and see if the are any amendments and if so notify the client.

Conditions of sale

Landlords should make sure that you and your solicitor inspect thoroughly the conditions of sale. These are the terms on which the successful bidder will buy the property. They regulate not only the bidding, but also any obligations the bidder is under. They give a full and definitive description of the property and prescribe what happens after the bid is successful.

What types of condition are there?

There are generally up to 4 types of condition that apply to the sale:

* General conditions
* Additional general conditions
* Special conditions
* Other conditions

Financing

Purchasing a potential investment property at auction is not a difficult as a landlord and novice property investor may think. Have a look at the Landlords Bible for details of how to go about it.

The one aspect of purchasing a property at auction that makes it a challenge is that access to immediate finance essential. This is because a 10% deposit is required on the day of purchase. The remainder is required within 28 days of the ‘gavel’ going down.

This means that a traditional buy-to-let mortgage is not suitable as completion times will frequently stretch beyond these tight deadlines.

Therefore, unless you have direct access to cash funds (a situation always preferable to having to rely on financiers who will charge you interest and fees for their trouble), landlord will need bridging finance. This is a short-term loan facility where interest is well above normal mortgage rates and is also charged on a daily basis. It is important to realise that bridging finance is not regulated by the Financial Services Authority, and therefore the usual consumer protection rules do not apply. Therefore you will need to be very careful in selecting the right bridging finance company to ensure that you have a competitive rate and reliable provider.

PropertyHawk is aimed directly at UK Landlords. The site incorporates free property management software letting a landlord track their financial data relating to their property portfolio. A mass of information on BTL mortgages and landlord insurance.



Author: Chris Horne
Article Source: EzineArticles.com
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A Complete Guide on Property Auction

Saturday, December 18th, 2016

If you’re looking for an online property auction, internet is the best source of information to find properties. Even if you’ve just started using internet, you can find property auctions online. All good auctioneers advertise their house on internet. Visiting so many websites may be difficult for people to search. The best thing that people can do is visit a website which includes a database of all the major auctioneers in the country. Online auctions are advertised in advance, like any other auction.

This is an advantage for buyers and sellers. For buyers, they can see the property and for sellers it means they can be more confident that the people bidding will value the property for its true worth. So it is important that your property is looking at its very best as it makes it far more appealing to buyers. When selling your property through an online auction you will either pay a one-off fee to the auctioneer, or a percentage of the selling price. Auctions online are a new way of selling properties through auction.

Tips to buy a property at auction:

1. Before going for an auction know your budget. There is no use going for an auction when you don’t have enough amount.

2. Before the auction date, visit the property so that you can investigate the property and find out whether it is worth the money is getting you.

3. Before buying the property do seek legal and professional advice for deeds, contracts, agreements and so on. If you seek legal advice you may face fewer problems while buying the property.

4. If you have an eye on a particular property, it is better you get a survey done. You don’t have to spend a single penny or cent of your money on repairable property.

5. Work out the payment terms in advance. If you’re definitely going to auction to buy work out the payment terms beforehand so that you go can go to the auction house calm and composed. Find out how much deposit amount you have to pay.

6. While bidding, either nod your head or raise a hand, don’t use multi signals it can confuse others.

7. Find out what insurance you may need while buying a property at auction.

Many people do not know about property auctions as it is not publicized heavily. Here are a few tips as to how you can find property auctions in or near your local area.

Browse the internet and type in property auctions and then type in area you wish to visit to attend the auction. Contact your local estate agents, real estate agents and landlords, they probably have contacts and can find out about auctions before most other people so keep ahead of the game and keep in their good books. Have a look at local and regional newspapers and find out if any property auctions are coming up in near future. Finally one more important thing is to keep your eyes and ears open, start meeting people who stay near the property to know more.

Andrew Wilson is a SEO copywriter for Property auctions and UK auction list. He has written many articles in various topics like Property auction, Property auctioneers and UK property auctions.



Author: Andrew V. Wilson
Article Source: EzineArticles.com
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Tips For Property Sellers – 12 Issues With Property Auctions

Friday, December 17th, 2016

A property auction is not an especially civilised process when you think about the emotional and financial magnitude of the decision-making involved in either buying or selling a property. Auctions are a fabulous way for real estate agencies to sell property – but for property sellers there are serious issues to be aware of.

Here are some issues for property sellers to consider:

1. The auction system itself is in direct conflict with the concept of ‘fair market value’. Fair market value implies a willing seller and a willing buyer unencumbered by undue pressure, each acting in their own best interests and a reasonable time for exposure in a free and open market. That doesn’t sound like the auction system to me.
2. The typical auction campaign timeframe of 3-4 weeks is unlikely to expose a property to the maximum potential market for the optimum period. Potential buyers who need to sell a house first, or arrange finance, or terminate an investment, or repatriate money etc. are unlikely to be able to participate.
3. Auctions imply ‘no-price’ marketing – yet price is widely recognised as the single most important piece of information for buyers. No-price marketing really annoys buyers and many simply won’t take their initial interest further in the absence of an asking price. Why would any seller want to annoy prospective buyers?
4. Although the typical auction campaign is 3-4 weeks the typical auction sole agency period is 3 months. Say what? The two should be consistent. If an agent says they only need to 3-4 weeks to sell a property by auction they shouldn’t need an agency period any longer than say one week post auction. If they need a 3 month agency they are hedging their bets that the property won’t sell at auction.
5. When recommending going to auction, agents often have no idea how many buyers (if any) may participate in the auction. That’s a scary thought. Ask the agent to quantify the number of bidders who will be at the auction and see what response you get!
6. There is no evidence to suggest that auctions achieve a higher price than sale by private treaty or tender – and indeed the exact opposite may in fact be true.
7. Many properties do not sell at auction. They sell before or after auction. This casts doubt on the value of the actual auction method itself for selling property. Agents will say that auction is only a part of the selling process – but it is a part that has a major influence on the price you might (or might not) achieve post-auction. Beware.
8. If a property does sell at auction it only sells for slightly more than the second highest bidder is prepared to pay. It is the ‘under-bidder’ who determines price.
9. By auction day, a property seller will have spent most (if not all) of their marketing budget and be in a vulnerable position if the property does not sell. This adds hugely to the pressure on a seller to accept any live offer on auction day (even if this is well below the seller’s price expectation).
10. Auctions allow agents to completely avoid the very hard issue of establishing an effective marketing price. This favours less qualified or skilled agents who simply rely on a 3-4 week auction ‘process’ to establish price. This changes the entire agency relationship from one where the agent acts in their client’s best interests by making every effort to talk price up and provide detailed market evidence to justify the seller’s price expectation, to one where an under-bidder sets the price after just a 3 week marketing campaign. That just doesn’t seem right!
11. Here’s how auction agents establish price. The auction reserve is usually set just prior to auction based on ‘feedback’ from potential buyers. To get this feedback the agent asks potential buyers what they think the property is worth. How many buyers do you think are going to give a high figure? This is called property seller ‘conditioning’ in the industry.
12. Many properties get passed in with either no bidders present or no bids from potential buyers who are present. What impact do you think the knowledge that there were no auction bids or bidders is going to have on the property seller’s ability to achieve a good price post auction? In these circumstances the auction process has likely established a maximum price level in a very public domain beyond which potential buyers are then unlikely to go.

So when is auction appropriate? In my view property auctions are OK in the following circumstances:

1. Where the property in question is patently in demand and there are a quantified number of potential bidders.
2. Where the property seller is under severe time pressure or financial duress.

Even under these conditions however there is no guarantee that sale by auction will yield a better price than sale by private treaty or tender.

© Copyright Nigel Mayson. All rights reserved.

Nigel Mayson
Property advisor & author

Buy Nigel’s book at http://www.cognitivecapital.net



Author: Nigel Mayson
Article Source: EzineArticles.com
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