My personal experiences with holding real estate auctions have been both positive and successful. I admit it can sound intimidating, but try it once and you’ll soon be a pro.
It’s a great way to expose property to multiple buyers at once and to sell the property to qualified buyers who are ready to buy. (I’ll be talking even more about it during the Extreme Real Estate Challenge … check it out at www.NeckOnTheLine.com)
Auctions are also an easy way to locate and purchase discount and bargain investment properties such as foreclosure properties, distressed properties and government seized properties.
And with real estate values down currently in many areas, it is one of the easiest ways to sell property. However, some states require that you have a real estate license so I recommend to my students that they investigate the laws of their state first.
Many of my students that I have coached have followed my simple 2-step formula to promote a real estate auction.
Step1: Advertise. Don’t be shy about it either. Place newspaper ads in local newspapers, put signs on the property and advertise on internet sites. This is an investment you’ll need to make but for less than $1,000 you can get a ton of advertising. (By the way, I even have private lenders fund my marketing so I don’t have to spend any of my own money!)
Be sure to include all information such as the name of the real estate auction company, the website address, pictures of the property, list price, minimum bid requirements, name and telephone number of the real estate agent, and YOUR name and telephone number. I advise my students that they must be willing to invest money in advertising to promote the property.
Step 2: Let buyers know you’re a serious seller. This can be accomplished by setting a low minimum bid and low reserve price. The public will only know the minimum bid. The reserve price is confidential until the reserve has been met. Once the reserve has been met, the buyers will be notified that the reserve price has been met.
Note: Online auctions such as eBay or Yahoo are not legally binding. They are not licensed real estate auction houses qualified to sell residential or commercial real estate. Their services are advertising mechanisms to bring buyers and sellers together. After the bidding, the sellers and buyers attempt to negotiate a real purchase and sale contract.
Auctions are a terrific tool to use to create a crowd of hungry buyers who will compete for the sale. What’s better than that?
I’ll be talking even more about this during the Extreme Real Estate Challenge. Only 10 days away! Go to www.NeckOnTheLine.com to follow me LIVE!
Popularity: 8% [?]
Welcome. If you haven't already signed in please take a moment to add your email address under "Follow Me Live" so I can keep you updated during the Challenge. Plus, you also get my SINGLE, BEST advice, How to Invest in Real Esteate with ZERO Money!! All FREE!!
{ 9 comments… read them below or add one }
Thank you for the comments i cant wait to for the contestant to be picked, so post your video on youtube. The Auction process is such a money maker it makes selling faster and easier. $$$$$$$$$$ and Fun keep the post coming
I think this is a great idea and I like the idea of getting investors to sponsor the marketing!
Well, you could never beat the expert!
Auctions never thought of that
Enjoyed the article. Extreme Challenge
“And with real estate values down currently in many areas, it is one of the easiest ways to sell property. However, some states require that you have a real estate license so I recommend to my students that they investigate the laws of their state first.”
agreed
No selling houses on Ebay. Really, who does that?
What kind of demeanor do you need to create competition for a sale is it easy? Do you have to be tricky or can you just be yourself?
Love it thank you for sharing! Consider me a subscriber!
You’re on a roll my friend. I love the idea of auctions and creating a buying frenzy. Nothing like having buyers compete while bidding the price up! Thanks for sharing.