When it comes time to sell a piece of land, more and more sellers are choosing the auction method to do so. And while auctions may not be the best method for every land sale, for many properties there are a number of benefits:
- You’re in control – Auctioning your land allows you to determine when and where the sale will take place, as well as the terms and conditions of the sale.
- A sense of urgency – By reducing the amount of time your property is on the market and concentrating all the showing activity into a few specific dates, you are requiring buyers to compete and take immediate action, which can often result in a higher sale price.
- Greater exposure for your land – An auction is an event, and with proper online, print, direct mail and email marketing it will drive the marketplace to your property, rather than waiting for the market to arrive on its own.
- Buyers are ready to bid – An auction signals to the market that you’re serious about selling, and buyers are provided due diligence information ahead of time. When they arrive at the auction they’ve already acknowledged the terms and conditions and are pre-qualified and registered to bid.
- Full transparency – Since land auctions are conducted in an open forum with all bids open and visible, the seller and bidders can watch the property’s true market value be realized as the bidding process progresses. There are no rumors about another buyer being interested when all bids can be seen by everyone involved.
For larger pieces of land, another advantage of selling at auction is the ability to break that land up into smaller and more affordable pieces; this is known as a multi-parcel auction. According to United Country Auction Services President Shawn Terrel, “The great thing about multi-parcel auctions is that buyers can buy property in the form that best suits their needs. It gives buyers with limited capital the chance to bid on smaller parcels in competition against buyers who intend to purchase larger parcels or the entire property.”
If you’re considering utilizing the auction method to sell your land, do your research first. Some pieces of land may not be the best suited for auctions, and the success of any land auction will vary depending on individual markets. If you’re unsure, contact a professional auctioneer to help guide you.
To find a United Country Real Estate auctioneer near you, visit UCAuctionServices.com