Auction Sellers Guide_Final

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1. Selling Your Real Estate?Use an Auction For the Best Results! 2014 All Rights Reserved 2. Theres been an explosion of auctionpopularity in recent years Online merchandise auction sites Popular TV shows focused on auctionsDid you know that in many countries aroundthe world, auctions are the preferred way tobuy and sell real estate?Our international friends in Ireland, Australiaand some nations in Asia have long takenadvantage of all the benefits of real estateauctions. You can, too. 2014 All Rights Reserved 3. 2014 All Rights ReservedWhen selling your real estate, would youlike: A set date of sale? An accelerated sales and marketing time frame? Fast closing? Only qualified bidders with no contingencies? Competitive bidding that tends to drive up prices? No drawn-out negotiations. The bidders competeagainst each otherThen Choose a Real Estate Auction! 4. 2014 All Rights ReservedAuctions vs. Traditional Sale for SellersHeres a look at how an auction is better for the sellerthan a traditional real estate saleAUCTION METHODOverall accelerated time frameBidders are pre-qualified and ready to buyCompetitive bidding drives prices upProperty sold at Fair Market ValueQuicker end to carrying costsScheduled, limited number of showingsSet closing date, usually 30 days or sooner after the auctionTRADITIONAL METHODSales process may take weeks or monthsBuyers often require financing or prior-sale contingenciesPricing steps typically go downValue is only an approximation based on similar properties soldCarrying costs drag on the entire length of sale processUnpredictable and often inconvenient showingsClosing date is often TBD 5. 2014 All Rights ReservedVirtually all types of real estate can beauctioned Single family Multi-family Condos Townhomes Commercial Investment Special-use Land Agricultural And More! 6. 2014 All Rights ReservedSome Example PropertiesHawthorne, FloridaUSAOmaha, NebraskaUSATierrasanta, CaliforniaUSANew Kent County,VirginiaUSAFishhaven, IdahoUSALa Terranas, CaribbeanDRGig Harbor, WashingtonUSABonita, CaliforniaUSA 7. How is your real estate auctioned? There are three popular options:Highest bid wins. Absolute Auctions generate by far the most interestamong buyers because of the opportunity to win the property with justanother bid. This typically means more money for the seller due to thecompetitive nature of bidding 2014 All Rights ReservedAuction Bidding TypesMinimumBidAuctionBidding begins at a minimum, acceptable price to the seller. Less popularamong bidders than the Absolute Auction, a Minimum Bid Auction providesa starting point that a seller may feel more confident with, but the startingbid should not be unrealistically high as to discourage initial works with sellers to establish an appropriate andproductive minimum bid.AbsoluteAuctionReserveAuctionOnly the seller, the auctioneer and the Auction Specialist knows a confidential minimum price atwhich the property can sell. Bidders typically regard an AuctionWith a Reserve as the least attractive because of the unknownminimum threshold their bidding needs to reach in order topurchase the property. 8. When is your Real Estate Auctioned?Working with our designated Auction Specialists, your property is typically ready for auctionapproximately six weeks after contracts are signed. This is an average time period based on themarket and the type of property we are auctioning. During this period, we will market yourproperty and assemble all due-diligence documents into a Bidder Information Package forbuyers. 2014 All Rights ReservedThere are three primary ways to sell a property at auction: Live, In-Person Event Online-Only Event Live / Online Hybrid EventLets see how each of these methods are defined. 9. These auction methods describe the length and the location of the auction.When most people think of auction, this is it. This type of event features a liveauctioneer in an open-outcry setting. Qualified bidders raise their numbered paddlesor bid cards when they wish to bid at the announced price, which is publicallyacknowledged by the auctioneer. A live, in-person event is typically held at a hotelballroom or conference center for multi-property listings, or onsite at the subjectproperty for a single listing. 2014 All Rights ReservedAuction MethodsOnline-OnlyEventPerfect for a listing or listings in which a live, in-person event isnt practical. Onlinebidding time is set for a narrow time frame or a broader time frame depending uponthe marketing strategy preferred by the seller, in consultation with specialist. Bidding is done by qualified buyers online, in realtime, though the Online Bidding Platform.Live,In-PersonEventLive / OnlineHybrid EventA great combination that melds todays technology with tradition to throwopen the doors for bidding from virtually anywhere. Bidders in the room,across town or around the world can purchase real estate while sellers canhave their properties exposed to buyers far beyond local markets. 10. Question & AnswerQ: Arent auctions used only for foreclosures anddistressed properties?A: Absolutely not. Any real estate that can be sold can beauctioned. It simply is the fastest, most efficient and mosttransparent way to buy and sell. 2014 All Rights Reserved 11. Question & AnswerQ: I live in a definite sellers market in which multipleoffers are made almost immediately when propertiescome up for sale. Why would I choose an auction?A: Despite multiple offers, you may end up leaving money onthe table unless you let potential buyers compete openlyagainst one another in an auction format. 2014 All Rights Reserved 12. Question & AnswerQ: Can you help me sell my real estate without anauction?A: Yes. Please use our contact information at the conclusion ofthis presentation. 2014 All Rights Reserved 13. How we can provide the following marketing foryour real estate. Some marketing methods are available only inmulti-property auction events in which pooled advertising dollarsare available to make certain purchases. Our marketing includes,but is not limited to: The website with a dedicated,customized listing page for each property Local Multiple Listing Service Additional real estate-focused websites Brochures and/or flyers Direct mail Social media News releases Company newsletter Newspaper ads TV and/or radio spots Billboards Guerilla marketing 2014 All Rights Reserved 14. 2014 All Rights ReservedMarketing ExamplesCommercialsBillboardsDirect mailFlyers 15. How Much?What will it cost to sell my real estate at an auction?Our listing fee and the marketing cost will vary, due toseveral important factors including: Type of property Method of auction Single-property auction or multi-listing auction OtherWe can best answer this question with a conversation.Please dont hesitate to contact us for more informationand lets discuss your particular situation. 2014 All Rights Reserved 16. Making the Right ChoicesWell work with you every step of the way todetermine the right solution for all the topics in thispresentation, such as the type of auction (Absolute,Minimum Bid, Reserve), the method of auction(Online-Only, Live Onsite-Only, Hybrid), where to setthe starting bid, and more.Were knowledgeable about your local market and wehave the experience to know what works for yourparticular real estate. 2014 All Rights Reserved 17. Who handles the details?We do! We will: Provide you with an easy checklist for all necessarydocuments needed for our Bidder InformationPackage. Take photos and post a listing Conduct the marketing and provide you with weekly 2014 All Rights Reservedupdates. Qualify all potential bidders Handle all aspects of the actual auction Collect earnest money Provide follow-up all the way to closing$ 18. 2014 All Rights ReservedAbout USWere a national real estate company specializing inauctions. Well sell your real estate using the fastestand most efficient way of bringing buyers and was founded in 2010 by theCEO of a successful and well-known real estatebrokerage of more than 20 years in Chicago. He beganusing auctions as a marketing method and soondecided it would become the sole purpose of thecompany because of the speed, ease and transparencyauctions is currently licensed in moststates, with expansion to all 50 underway. In 2015, thecompany expects to expand internationally. 19. 2014 All Rights ReservedThank you!If youre interested in learning more,phone or email representativewho provided this presentation, orcontact our national headquarters.RealEstateAuctions.comCorporate Headquarters1765 Scott Blvd., Suite 209Santa Clara, CaliforniaUSATel: (650) 584 3741 and (877) 938 73408:00 a.m. 4:00 p.m. Monday Fridayemail/