SOLD! to the highest bidder. Auctions are gaining momentum.
February 2, 2009 – 9:14 am
Sold at Auction
These are the days when the rich get richer and those with guts get in the game.
A few weeks ago I told you about a great piece of property near Folly Beach that was coming up for auction. Bird-watchers paradise, 4 sub-dividable acres plus a 3 bedroom,2 bath house with a Yoga Studio backing up to a march. Ring a bell? That little piece of heaven sold in 20 minutes this past Saturday for….$200,000.00, approximately 55% of its listed price.
In this buyer’s market, Auctions are THE place to purchase. Unlike Short Sales or Foreclosures, when you buy at auction you buy from the seller, not the bank. That means no waiting on some subcommittee to think about your offer while you lose out on another deal down the street. Plus, these homes are usually owner occupied and listed with an agent so they’re well maintained, pre-inspected and generally up-to-snuff.
1/2 Price Oceanfront Home on Sullivans Island
And here’s the best part: Auctions are no longer just for distressed properties. Many sellers are tired of maintaining multiple houses and want to forego the waiting period of a standard sale. Some are taking such a beating in the stock market that they are cashing out their real estate holdings and others are smart enough to sell before the bank comes knocking on their door.
Is every auction the same? NO. There is a significant difference between auctions and auctioneers.
- Reserve vs. Absolute: A Reserve Auction means that if a certain price is not reached at the auction, the property is not sold. Sometimes this reserve is disclosed, sometimes it isn’t.
- Absolute: These are the real gems. Absolute Auctions have no reserve. The best price wins, even if it’s below what the seller wants or owes.
- Contingencies: Although some allow inspections after the fact, smart auctioneers allow buyers to do all inspections before the auction. That way, come auction day, everything is out of the way and you can proceed directly to a 30-day closing date.
62 buyers attended Saturday's auction
A typical auction takes about 20-30 minutes from start to finish. You can feel the hype as the crowds gather, investors huddle together to discuss strategies and couples argue about their maximum bids. It can get pretty heated but in the end, it’s a win-win situation. One buyer gets a great deal and the one seller gets a huge burden off his shoulders.
Below is a list of houses currently on the auction block. If you’d like more information, contact me. I’ll be attending most of the good ones this year and you’re welcome to come along for the ride. Oh, bring your checkbook just in case. Some deals are really too good to pass up.
For more information on how you can Auction your property, give me a call. 843 276-1618
