Frequently Asked Questions And Answers about AUCTIONS
1.What type of auctions do you Offer ?
As a licensed auctioneer you might think of me as a general practitioner. recently my area of interest and focus has been on Real Estate. However, the auctioneers skill set is more to marketing product of all type including Estate Sales, business overstocked inventory liquidation, farm equipment, automobiles, fleets for city, county and state government, etc. In a word, anything.
2. What is the difference between a " RESERVE ' auction item and a " NON RESERVE " auction or auction item.
Reserve simply said means that if the item does not recieve a bid amount that is acceptable to seller. A non reserve or absolute means the seller will sell the item for the dollar amount of the final bid to that bidder.
3. What is a Buyer's premmium ?
Fee added to price. For example if announced aqnd or published at the auction site there will be a 5 percent buyer premium an item sold for $ 1000.00 X .05 = $ 50 + 1000.00 = $1050.00 total amount.
4. Why do bidders , registering have to prove they can buy?
Auction unlike traditional sales method target person(s) who are ready , willing, and able to buy. The verification of funds insures sellers that ability to buy exist and if bidder wins the item as top bidder payment is not a problem.
5. Is it unusual for an auctioneer service to also offer a Business Brokerage Service?
Yes and no. Often persons seeking to liquidate a buisness by auction recieve moe money if they offer and sell the buisness as a whole rather than in parts of the whole. For instance goodwill and blue sky are not tangibles. The business as a whole may produce far more income than the equipment's value.
6. How much does it cost to have an auction?
Many considerations go into determining a service fee. To start the 4W's come into play What, Why, When,Where. This roughly indicates how a marketing plan is developed and the investment required to take it to the targeted prospective buyers.
7. Does Real Estate Auctions co operate will Real Estate Agents?
Most circumstances we do, However. agent and the buyers being represented must be pre registered with that particular auction. Agents must register the buyers at all different auctions scheduled. Registration at one auction does not constitute registering at other auction locations and dates.
8. When you say , How can you get 15 cash offers in 15 minutes? Auction It. What does this statement mean?
I believe traditional Real Esate Sales is nothing more than a silent auction. You place a sign in the yard, you usually set a price that would be great to get but not necessary to buy your home. After the sign goes up you get several calls most from the neighborhood curiousity folks just wanting to know prrice. If one of these calls were for a serious buyer , the overpricing discourages further interest. After 30 days no offers, just calls. Now you begin dropping price on paper but usually not public. Often you see attachments to Real Estate signs ( NEW PRICE ) hoping to get offers. Traditional method sets price high and drops lower. At Auction we set to opening bid based on who is willing and able to buy, that is usually more than one person and a bidding wars begins. The nod of a head, the wink of an eye, the flickering of a finger signaling to take the price higher. Such action is guaged in minutes and the sign in the yard is guaged in months, in fact most sellers sign an exclusive right to sell contract for a period of months.
"SELLING HOME IN MINUTES, NOT MONTHS" ----- AUCTION RESULTS YOU CAN TAKE TO THE BANK