28 Sep Buying a home at an auction: The benefits
First, let’s begin with what a real estate auction entails.
Our friends at realtor.org define a real estate auction as, “an innovative and effective method of selling real estate. It is an intense, accelerated real estate marketing process that involves the public sale of any property—most certainly including those that are non-distressed—through open cry, competitive bidding.”
Here are just a few of the benefits available to auction buyers:
- The seller will sell: Tired of going to open houses, find the “perfect” home, and then having the seller take it back off the market? That won’t happen at a real estate auction. As a buyer going to an auction, you can rest assured knowing that the seller is committed to sell this home.
- Buyers determine the purchase price: At an auction, buyers have the opportunity to make a smart investment. Properties are purchased at a fair market price through competitive bidding. This allows the buyers to determine the sale price of the property.
- Purchasing process is reduced: Auctions eliminate long negotiation periods that often occur when buying a home. This, combined with the purchasing and closing dates being pre-determined, results in the amount of time it takes to purchase the property being reduced.