The following information will provide a quick overview to help sellers learn more about the auction process.
Prior to selling real estate by auction, it is important to have sufficient knowledge of the property as well as knowledge of the current market. Tasabah & Associates conducts a market analysis by evaluating comparable recently sold homes to determine a competitive auction price.
Once we have completed our market analysis, Tasabah & Associates will develop a proposal to outline the details of the auction process and how the property is going to be marketed. The auction proposal includes a media plan, proposed schedule of events leading up to auction day, market analysis, and closing information.
Marketing, Social Media Plan and Budget
Tasabah & Associates uses the most up-to-date Marketing and Social Media techniques to reach perspective buyers. One of the most powerful success factors in using the auction method of marketing is an accelerated, polished, and comprehensive marketing and social media plan. The marketing program is custom-designed to fit the needs of the seller and targets a prime audience suited for the property. Because the lead-time in a real estate auction is generally short, the marketing and social media program must be comprehensive, intense, and targeted to perspective buyers. Marketing and Social Media efforts typically begin three (3) weeks prior to the sale date.
Buyers Information Packet
The Buyers Information Packet is a comprehensive packet that outlines important details of the property. Thorough research and a high standard of care are put into the development of the Buyer Information Packet. By providing this information, bidders are given the confidence to participate in the auction possibly resulting in a higher sale price for the seller. This document is provided to all potential buyers.
Before the Bidding Begins
The auction begins promptly at the appointed time with opening remarks summarizing the terms of sale, the methods of bidding, and any last minute changes or disclosures. These comments usually take only a few minutes, concluding with the auctioneer answering any final questions.
Bidding Begins ~ working with the Bidder Assistant
The Bidder Assistants are licensed Real Estate Agents working for Tasabah & Associates, LLC. They are positioned among the auction attendees to help all bidders communicate their offers to the Auctioneer. Bidders place a bid by raising their bidder card. If a bid was not intended, the mistake is corrected by simply notifying a Bidder Assistant. Any tie bids or other issues regarding who has the high bid are always resolved by the Auctioneer, who has complete and final authority.
From the first bid, things move quickly with bidders offering their bids up to the price they are willing to pay. When it is determined that the final bid has been made the Auctioneer will announce, “Going once, going twice, etc.” After the announcement the Auctioneer will identify and congratulate the high bidder. Once the high bidder has been congratulated the high bidder will execute the Real Estate Purchase Agreement.
~In a “subject to confirmation” auction, the seller retains the right to accept or reject the high bid within a specified time after the auction. If the auction is for a single property such as a home, this concludes the auction and the purchaser simply executes the Real Estate Purchase Agreement and makes the required Earnest Money Deposit.
Closing on the property typically takes place within 30-45 days from the date of the auction. Closing is not contingent on financing, appraisals, or inspections.
For more information, please contact us at 870.236.6117 or [email protected]. We offer a free, no-obligation consultation.