REAL ESTATE

The sale of real estate at auction has become a very lucrative and successful avenue for families looking for an alternative to traditional real estate sale.  As both licensed auctioneers and real estate broker’s, Houser Auctioneers is able to provide our sellers with both the advantages and disadvantages from both the public and private side of selling real estate.  There are several reasons the sale of real estate at auction has become successful.  They are as follows:

            First and foremost, if you do not get the price you want for the real estate you do not half to sell.  This is called your reserve.  In setting up the reserve we will work diligently to provide the seller with a ballpark on what they can expect based on type of home, location, home condition, and any other factors affecting the property.  It should also be noted that in the rare instance we do not achieve an acceptable amount for real estate, in most cases there is no charge for the attempt.

            The second most popular reason for real estate auction is there are no contingencies.  That means no home, well, septic, radon or other type of inspection that inevitably cost the seller money in a traditional private deal.   On sale day if a number is accepted by the seller, the buyer will immediately execute sale agreement papers and put down 5% of the purchase price.  That money is held in escrow for 45 days at which time the buyer must come to closing with the balance of the funds.  If they fail to do so, the seller retains the deposit and the seller can re-sell the property at public or private sale.  It should be noted this forfeiture of down money has happened only one time in the past 15 years of selling real estate.

            The third reason sellers prefer public auction is simply the cost.  At auction the commission is 3% versus the traditional real estate fee of 6%.  This is important because if you are considering liquidating the personal property, there is basically zero risk in offering the property.  Again, if we obtain an acceptable number we sell at 3%, if it does not sell then it generally costs nothing for the attempt.

            The final reason auction is popular is we at Houser Auctioneers will try to sell everything we can.  The good and the bad.  From the great antiques to liquids under the sink.  Every dollar is something we feel belongs to the family and we strive to obtain it.  That said, there are sometimes things that just don’t sell.  In those cases, if we obtain a successful price for real estate, any items left on the property after the sale become the responsibility of the buyer. There are no clean out fees or pre-settlement walk throughs.  As long as the property looks like it did on sale day, the deal is completed.

            With these reasons in mind, the sale of real estate with Houser Auctioneers is professional, safe, economical, and most of all accepted by buyers and sellers who once thought traditional real estate sale was the only option.  The fact is, with many estate properties that may need some upkeep or modernization, auction is the way to go because the sale of real estate at auction is about what a property can become.  It uses market demand to force investors, flippers, and private buyers to bid in a competitive environment to their highest dollar for any given property.