Tucker Auction Services
Advantages to Auctioning Real Estate:
Sellers can expect a sale at the highest price available in the marketplace within 6 to 10 weeks, irrespective of the stagnancy of the real estate market. Intense local, regional and/or national attention can be focused on the property, isolating all other competing properties
The auction creates an opportunistic buying environment, causing buyers to react favorably and quickly in an otherwise weak-reaction market. Buyers respond to an offering that is specified to the terms and conditions of the seller. Purchasers perform diligence prior to the auction and sign a non-negotiable binding contract upon winning the bid.
The auction stimulates the market through an intense and condensed marketing campaign, including concentrated public relations, media advertising, and direct mail.
The auction creates demand for the real estate and an urgency to buy where none currently exists. The auction allows sellers to be proactive in their sales and marketing plans and places them in control of their success, as opposed to selling property at the whim of the buyers.
What Properties are Best Suited for Auctioning?
- High Profile Properties
- Multi-Parcel Properties
- Luxury Properties
- Unique Properties
- Estate Sales
- Investment Properties
How Does an Auction Sale Work?
The following are a few different strategies through which properties can be offered at auction:
Without Reserve: (Also known as an Absolute Auction) There is no reserve or minimum bid; rather, the property is sold to the highest bidder regardless of price. A Without Reserve Sale is a strong calling card, however, it can sometimes create a higher degree of risk. It can also provide a higher degree of return.
Minimum Bid Sale: A Minimum Bid Sale means the property will be sold at any price equal to or greater than the Minimum Bid price. An offering with a Minimum Bid is effective if the Minimum Bid is set below the anticipated value of the property. Remember, the idea of an auction is to expand the pool of potential buyers and provide for significant upward bidding momentum.
With Reserve No Stated Price: With this approach there is no definite price at which the seller guarantees a sale. The seller reserves the right to accept or reject the highest bid at the auction. All auctions are presumed to be with reserve unless otherwise stated.