Should I Auction My House?
While most Phoenix, AZ homeowners still prefer selling properties through traditional platforms, more and more sellers try auctions. These public sales provide owners a chance to sell their house fast, at times with a profit. However, before auctioning off your property, it’s essential to understand the process first.
There are many factors to consider, from finding an auctioneer to choosing an auction type and declaring faults. Let’s go through these components to answer the question: Should I auction my house?
Elements of an Auction
Before putting your house up for auction, we’ve combined information on auction elements you need to know. This list should help you determine how you want to sell your home.
Find an Auctioneer
Experts estimate that there are between 80,000 and 100,000 auctioneering companies in the U.S. today, and it’s essential to choose one that matches your needs. You can find one using any of these techniques:
- Visit the National Auctioneers Association website to look for reliable companies in your area. Keep in mind to pick one with relevant experience.
- Attend auctions to find companies that appeal to you.
- Find one online. Make sure to check reviews.
- If you prefer working with someone your relatives or friends know, ask for recommendations.
Ask about Fees
Many homeowners want to try auctions because they want to avoid hefty real estate fees. They don’t know that auctions can cost just as much as hiring an agent. In some cases, companies can take up to ten percent of the house cost, which will drastically reduce your profit.
Often, auction houses will charge sellers for an entry, advert, and sale fee. They will also bill buyers fees that real estate agents might not charge.
Decide on an Auction Type
Once you agree on fees with an auction house, the next step is to decide on an auction type. When it comes to selling properties, companies often use two kinds: absolute and reserve auctions.
- Absolute auctions: With these sales, there is no minimum limit for your house to be sold. It does not have a reserve price, and the auction house rewards the property to the highest bidder.
- Reserve auctions: These sales include a minimum limit for an auction house to sell your home. If you choose this auction type, you need to set a minimum price for your property. If the bids don’t reach the limit, you won’t sell your house.
You might think choosing a reserve auction is ideal because of the minimum price, but picking an absolute auction has its advantages. First, bidders might not be willing to pay for the limit. When this happens, you will have a hard time selling your property and still spend on entry, advert, and sales fees. Additionally, absolute auctions attract larger crowds than reserve auctions do.
Declare Property Faults
One crucial aspect of selling your home through an auction is enumerating the problems it has. It’s best not to leave out any of your property’s flaws because the buyer can claim legal action against you if you do.
Set Realistic Goals
Don’t sell your home through an auction thinking of high profits. Instead, set a realistic price you hope to earn. Remember that buyers bid on properties that don’t have sentimental value to them. While auctioning your house may prove faster than a real estate sale, it can bring in less money than expected.
An Auction Alternative
You might think of selling your home through an auction because of a potential quick sale where you set the terms, but the truth is it’s an expensive endeavor that doesn’t always end profitably for sellers.
The good news is, Andrew the Home Buyer offers sellers an auction alternative without closing costs, commissions, or realtors. You can sell your home in three simple steps in as little as seven days.
- Submit your property information: Fill out this form or call 602-581-8235 to request a free cash offer.
- Receive your no-obligation cash offer: During this process, we will discuss your needs. Let us know your asking price and particular requirements. Keep in mind that you don’t have to accept the offer if it does not meet your expectations.
- Sell your house fast and hassle-free: Should you find the offer ideal, we can agree on a closing date that’s convenient for you. We can close in seven days or less, and you can even stay in your home for up to 30 days without rent.
Andrew the Home Buyer has been purchasing homes in Arizona for over 15 years. The company knows what the community needs.
The proponents of the company’s cash home buying program designed it to offer you the maximum possible amount, reduce your fees to zero, and offer a quick solution to selling your home.
The best part is, you don’t have to fix a single thing because the company will buy your property as-is. Whether you’re going through a divorce, job loss, or foreclosure, there’s a way for you to sell your property quickly without the hassles of traditional selling methods.
Please don’t hesitate to get in touch via info@andrewthehomebuyer.com or 602-581-8235 if you have any questions. You could be a few clicks away from selling your home.
