- Three female fugitives wanted in New Jersey restaurant theft arrested in Illinois
- Man guilty in 2012 crash into home that injured 8-year-old
- McDonald’s: Federal complaint says company is joint employer
- T-Mobile settlement: $90M for cell phone bill cramming
- Shelter Care Ministries gets $30,000 grant
- Even more dead bees?
- Holiday travel: 98.6 million plan getaway, most on record
- Scam artists posing as utility reps, demanding payment
- Holiday mailing deadlines approach, Rockford Post Office warns
- Hispanics more than half of all renters, yet most are uninsured
On Real Estate: Turning to the real estate auction to move property
By Jim Hagerty
Real estate auctions can allow homeowners better odds at selling property, especially in a soft market where traditional sales are slow. Commonly associated with estate liquidation and foreclosure, real estate auctions can attract more qualified buyers and and come with almost effortless closings.
Because homes placed up for auction are almost always sold “as-is,” sellers do not worry about contingencies such as deferred maintenance and seller contributions. Bidders are also commonly required to prove they have cash before placing bids. This allows auction transactions to proceed without financing hangups common in traditional real estate sales.
Mass marketing and bidder competition
Unlike traditional real estate sales, auctions, if marketed properly by a strong professional, can attract droves of potential buyers. Multiple bids in a short period of time often drive prices up much higher than offers associated with traditional sales, which can take weeks or longer to be reviewed by sellers. Sellers choosing an auction are often able to get top dollar for their property in spite of soft spots in their market.
When a home involving traditional sales and marketing techniques is sold, buyers and sellers are often required to work closely with appraisers, bank underwriters and real estate agents to satisfy lender and other requirements. While many issues are easily solved before closing, others cause closing dates to be rescheduled, and some sales fall apart. When a home sells at auction, buyers and sellers almost always know when to arrive at closing. Closings are also usually efficient, involving only an exchange of funds and the filing of a deed and title policy. Properties sold at auctions usually close no longer than 30 days after bidding ends.
From the Sept. 29-Oct. 5, 2010 issue