Real Estate Auction Sarasota, FL

Real Estate Auction in Sarasota, FL

Attending Your First Higgenbotham Auction

Real Estate Sarasota, FL – Property auctions are high energy and high reward, which can be both exciting and intimidating to a newcomer. For a first time bidder, preparation is key. To help calm your nerves, here are answers to all those first-timer questions in a guide to attending your first Higgenbotham auction. Read below for tips to become an expert on the auction process and ensure that your first Higgenbotham auction is both a success and tons of fun.

Phase 1: Getting Familiar with Auctions

Before signing up to attend a property auction, know what you’re getting into. Auctions are high energy, fast paced events, which can feel high-pressure to some. Every auction is different, each with its own set of terms, dates, conditions and details. However, we always have Ringmen available to help with bid increments and answer any questions, so you’re never in it alone. Our number one tip for first time bidders? Do your homework!

  • Read the comprehensive Property Information Package (PIP)
  • Research potential properties
  • Get your finances in order
  • Review the auction house instructions

It is important to do all your due diligence prior to the auction. It is always a good idea for a first time bidder to attend an auction in which they are not buying first. This will help you get comfortable with the whole process without anything at stake. This familiarity will also help you to avoid making our most common first-time buyer mistake: getting caught up in the excitement and bidding more than you really intended. It is important to go in clear on the amount you want to bid, and make sure you stop once you hit that number.

Phase 2: Preparation

Sound familiar? It is just that important. Preparation is key to auction success. Always read the property information package (PIP) that is available on the property you are considering. This will be a complete package that contains all the pertinent information about the property, including designated preview times for the property. These previews can vary property to property, from a drive by at your convenience to set times to tour the property. You are free to bring anyone who might make you feel more comfortable through the process, like a realtor or inspector.  You can access the catalogue and potential properties, along with information on current and upcoming Higgenbotham auctions, at www.higgenbotham.com/auction/all-up-coming-auctions.

The PIP will be your guide to the real estate auction

The PIP will be your guide to any and all property information throughout the process. To access this guide, visit the auction information page and complete a short form in order to receive the package. If an auction is canceled, all parties that have filled out this form will be notified. This is also where you can find all property-specific information. Each auction is different in terms of accepted forms of payment, so make sure to completely review the Terms for each auction you plan to attend, so you know this information ahead of time. Additionally, it is important to have your financing and pre-approvals in place prior to bidding, as the purchase and sale agreement is not contingent on financing, and you will loose your deposit if you are unable to close on the sale. This will also help you to determine the highest amount you’re willing to bid.

As a first time bidder, when assessing a property and its surrounding area, it can be helpful to have a Realtor working with you, especially if you are uncomfortable with judging what the value of a property may be. If not, do as much research as you possibly can on the property and the surrounding area to help you determine your judged value.

Phase 3: At the Auction in Sarasota, FL

Once you’ve found a property of interest, it is time to register for the auction. You can register on the day of the auction simply by showing your Government issued ID at least 20 minutes prior to the auction. It is best to arrive early so you are there to listen to the auctioneer’s opening remarks, in case there have been any changes to the property terms and conditions. Registration does not imply any obligation to bid. As we like to say, the bid card is free! It’ll only cost you if you are the high bidder.

Our most important Higgenbotham motto for auction day? If it isn’t fun, we’re going home! Marty loves to keep auctions light and fun, keeping the crowd engaged throughout the entire process.

After registration, find a comfortable place to sit or stand. Once the auction starts, it will be a quick process followed by paperwork for the high bidder. The auctioneer will start the auction by asking for an opening bid. Once this has been established, bid increments are at his discretion. He will always state the current bid and the next asking price. You can always motion or say another bid, and he may accept it if it is reasonable.

Don’t worry if you can’t make it to the auction site on the day of the auction. We broadcast most of our live auctions simultaneously online. While Marty stresses the importance of “eye to eye” and we find that most of our bidders love attending live auctions for Marty’s fun and entertaining commentary, our goal is obtaining the most money possible for our clients, whether is be in person or online.

Phase 4: After the Auction

Once the highest bid has been established, that is the final “SOLD” – no negotiations. Once you have committed as the high bidder, you will sign a contract and put up non-refundable escrow funds. This is why it is so important to do your homework ahead of time, so that you have the comfort level you need to bid to the amount you determined, before you are absorbed in the excitement of the auction. The closing process works just like a traditional real estate transaction. There will always be a purchase and sale agreement, and this agreement is always available in the PIP for review ahead of the auction. The terms are different on every auction, so it is important to know and feel comfortable with them ahead of time. Most of our auctions have a closing period of 30-45 days for closing, with title insurance provided so you know the property is free and clear of all liens and encumbrances.

That’s it! Do your homework, know what you’re getting into and come to the auction ready to have fun! With this information in your back pocket, attending your first Higgenbotham auction will be a high energy, fast paced success!

Browse all of our current and upcoming Higgenbotham Real Estate Auctions here

Do you have real estate in Sarasota, FL that you would like to auction? Contact us today to get the most for your real estate.

Attending Your First Higgenbotham Auction

Property auctions are high energy and high reward, which can be both exciting and intimidating to a newcomer. For a first time bidder, preparation is key. To help calm your nerves, here are answers to all those first-timer questions in a guide to attending your first Higgenbotham auction. Read below for tips to become an expert on the auction process and ensure that your first Higgenbotham auction is both a success and tons of fun.

Phase 1: Getting Familiar with Auctions

Before signing up to attend a property auction, know what you’re getting into. Auctions are high energy, fast paced events, which can feel high-pressure to some. Every auction is different, each with its own set of terms, dates, conditions and details. However, we always have Ringmen available to help with bid increments and answer any questions, so you’re never in it alone. Our number one tip for first time bidders? Do your homework!

  • Read the comprehensive Property Information Package (PIP)
  • Research potential properties
  • Get your finances in order
  • Review the auction house instructions

It is important to do all your due diligence prior to the auction. It is always a good idea for a first time bidder to attend an auction in which they are not buying first. This will help you get comfortable with the whole process without anything at stake. This familiarity will also help you to avoid making our most common first-time buyer mistake: getting caught up in the excitement and bidding more than you really intended. It is important to go in clear on the amount you want to bid, and make sure you stop once you hit that number.

Phase 2: Preparation

Sound familiar? It is just that important. Preparation is key to auction success. Always read the property information package (PIP) that is available on the property you are considering. This will be a complete package that contains all the pertinent information about the property, including designated preview times for the property. These previews can vary property to property, from a drive by at your convenience to set times to tour the property. You are free to bring anyone who might make you feel more comfortable through the process, like a realtor or inspector.  You can access the catalogue and potential properties, along with information on current and upcoming Higgenbotham auctions, at www.higgenbotham.com/auction/all-up-coming-auctions.

The PIP will be your guide to any and all property information throughout the process. To access this guide, visit the auction information page and complete a short form in order to receive the package. If an auction is canceled, all parties that have filled out this form will be notified. This is also where you can find all property-specific information. Each auction is different in terms of accepted forms of payment, so make sure to completely review the Terms for each auction you plan to attend, so you know this information ahead of time. Additionally, it is important to have your financing and pre-approvals in place prior to bidding, as the purchase and sale agreement is not contingent on financing, and you will loose your deposit if you are unable to close on the sale. This will also help you to determine the highest amount you’re willing to bid.

As a first time bidder, when assessing a property and its surrounding area, it can be helpful to have a Realtor working with you, especially if you are uncomfortable with judging what the value of a property may be. If not, do as much research as you possibly can on the property and the surrounding area to help you determine your judged value.

Phase 3: At the Auction

Once you’ve found a property of interest, it is time to register for the auction. You can register on the day of the auction simply by showing your Government issued ID at least 20 minutes prior to the auction. It is best to arrive early so you are there to listen to the auctioneer’s opening remarks, in case there have been any changes to the property terms and conditions. Registration does not imply any obligation to bid. As we like to say, the bid card is free! It’ll only cost you if you are the high bidder.

Our most important Higgenbotham motto for auction day? If it isn’t fun, we’re going home! Marty loves to keep auctions light and fun, keeping the crowd engaged throughout the entire process.

After registration, find a comfortable place to sit or stand. Once the auction starts, it will be a quick process followed by paperwork for the high bidder. The auctioneer will start the auction by asking for an opening bid. Once this has been established, bid increments are at his discretion. He will always state the current bid and the next asking price. You can always motion or say another bid, and he may accept it if it is reasonable.

Don’t worry if you can’t make it to the auction site on the day of the auction. We broadcast most of our live auctions simultaneously online. While Marty stresses the importance of “eye to eye” and we find that most of our bidders love attending live auctions for Marty’s fun and entertaining commentary, our goal is obtaining the most money possible for our clients, whether is be in person or online.

Phase 4: After the Auction

Once the highest bid has been established, that is the final “SOLD” – no negotiations. Once you have committed as the high bidder, you will sign a contract and put up non-refundable escrow funds. This is why it is so important to do your homework ahead of time, so that you have the comfort level you need to bid to the amount you determined, before you are absorbed in the excitement of the auction. The closing process works just like a traditional real estate transaction. There will always be a purchase and sale agreement, and this agreement is always available in the PIP for review ahead of the auction. The terms are different on every auction, so it is important to know and feel comfortable with them ahead of time. Most of our auctions have a closing period of 30-45 days for closing, with title insurance provided so you know the property is free and clear of all liens and encumbrances.

That’s it! Do your homework, know what you’re getting into and come to the auction ready to have fun! With this information in your back pocket, attending your first Higgenbotham auction will be a high energy, fast paced success!

Browse all of our current and upcoming Higgenbotham auctions here

Top Ten Benefits of a Real Estate Auction for Realtors & Agents

  1. Real Estate Auctions generate a list of ready, pre-qualified buyers.
  2. Real Estate Auctions offer clients and customers new selling and purchasing options.
  3. Real Estate Auctions increase revenue and market share.
  4. Real Estate Auctions help develop your own market niche which you can use for future marketing purposes.
  5. Sale by real estate auction brings the assurance that a property will be sold at true market value.
  6. Properties are sold within a relatively short period of time.
  7. Auction marketing techniques expose properties to many potential purchasers.
  8. Real Estate Auctions bring people in to look at all your listings.
  9. Real Estate Auctions result in referrals and return business.
  10. Competitive bidding means higher commissions for you.

Top Ten Benefits of a Real Estate Auction for the Seller

Selling at auction helps determine the true market value of a property while establishing a quick turn around time for the seller. You have a deadline and buyers are prompted to make the purchase and bid against each other on the date of the auction. In addition, you have a company who aggressively markets your property increasing the interest and visibility and ultimately the dollar amount you’ll receive. View our Top Ten Benefits of a Real Estate Auction for the Seller.

  1. Our buyers come prepared to purchase at our real estate auctions.
  2. Quick asset realignment reduces the long-term carrying costs (including taxes and maintenance).
  3. Auction marketing exposes your property to a large number of pre-qualified prospects.
  4. Real Estate Auctions accelerate the sale of your property as there is a deadline.
  5. Our sale’s dynamic feel and energy create great competition amongst buyers. Auction prices can exceed the price of a negotiated sale.
  6. Most potential buyers are already pre-qualified for financing before the auction begins.
  7. Real Estate Auctions are date-specific, so the seller knows exactly when the property will sell.
  8. Our sales process eliminates numerous, unscheduled showings. We usually allow two dates and times to preview the property before the auction. Other than that, individuals are allowed to drive by as they please.
  9. Our auction method takes the seller out of the drowned-out negotiation process as the buyers deal directly with us, Higgenbotham Auctioneers.
  10. Higgenbotham Real Estate Auctions ensure an aggressive marketing program in order to increase the interest and visibility of the seller’s property.

Top Ten Benefits of a Real Estate Auction for the Buyer

Buying at auction is a smart move for anyone who is looking to buy property. Here at Higgenbotham Auctioneers, we are committed to selling at our Real Estate Auctions and let the buyers determine the price. We don’t haggle and negotiate for long periods of time, what you want to pay is what the property is sold for. View our Top Ten Benefits of a Real Estate Auction for the Buyer.

  1. Real Estate Auctions are where smart investments are made as properties are usually purchased at fair market value through competitive bidding.
  2. The buyer knows the seller is committed to selling as there is a set deadline.
  3. Real Estate Auctions allow the buyer to see many offerings in the same place at the same time during a multi-property sale.
  4. Buyers determine the purchase price and there is “no-haggling” from real estate agents trying to earn top dollar.
  5. You will eliminate long negotiation periods and make the purchase easier on yourself.
  6. Real Estate Auctions reduce time to purchase property as there is no back and forth haggling from both ends.
  7. In a Real Estate Auction scenario the purchasing, preview, and closing dates are known beforehand.
  8. In our sales, buyers know they are competing fairly on the same terms as all of the other buyers.
  9. Closing is simplified as all information is disclosed in our Due Diligence Packets at the auction.
  10. Real Estate auctions are FUN! Seriously, if you’ve never been you need to check one out.

Why Higgenbotham Auctioneers

Haven’t gotten to know us yet? Well, nice to meet you. We’re Higgenbotham Auctioneers, a full-service auction company with a commitment to our clients that shines through in everything we do, every step of the way. We’ve been around since 1959, and our experience is virtually unmatched throughout the entire auction industry. We have an extensive history in selling just about anything and everything related to property, including: development tracts, luxury homes, condominiums, major commercial and industrial sites, estates, and agricultural land.

Since 1959, our dedication to excellence has remained the same, and everyone we’ve met throughout our path remembers Higgenbotham as “the name that sells”. Our vast network provides both buyers and sellers with a devoted team bringing our strengths of international experience and local expertise to them; which each of our clients have come to depend on.

We put you first, providing the best auction experience possible – no questions asked.

Why Choose the Auction Process Over Working with a Realtor

The auction process establishes a definitive time to sell and close on the assets, reducing holding costs as the buyers and sellers know a specific closing date. At Higgenbotham, we use an aggressive advertising strategy to help our sellers gain maximum exposure; informing a selected target group of potential property buyers about auction times, locations, preview times, bidding terms, as well as providing them with a full gallery of images to see the property in great detail. By attending an auction with several other pre-qualified buyers, competition is created and the fast-paced environment generates urgency for the buyers to act on the great deals we offer them. When selling property with an auction, the sellers determine the terms and conditions of the sale, not us. However, when working with realtors, the price of the property is often times determined after factoring in commissions. Auctions allow the buyers the ability to justly influence the cost of the property affirming true market value rather than elevated costs.

The auction method accelerates the selling process of any property or asset. It brings together all interested parties at the same time in order to complete the sale. Offers and counteroffers and the frustrating, slow negotiation process are swiftly turned into an exciting, urgent bidding match between serious, prospective buyers.

Commercial Real Estate Auctions Florida – Interested in selling your property with Higgenbotham. Contact us today to begin working directly with a member of our team.

In a real estate market saturated with selling options, from traditional realtors to auctions to the private For Sale By Owner, it can be difficult to figure out which selling method is the best fit for you and your home or property. While once only associated with distressed properties, home auctions are growing rapidly in popularity. While selling through real estate auction is a great, fast, seller-controlled option, it may not be the right course of action for you. This guide to selling through auction will help you to understand how selling your property at auction compares to selling with a traditional realtor, and decide which selling strategy is best for you

Speed

Though timelines may vary, an auction is typically set up and promoted within 45 days. The post-auction settlement period is usually another 30 to 45 days, making the total timeline roughly 90 days, start to finish. This means that homes often sell faster through auction because there is a fixed date that the property is sold. All marketing happens before, and closing happens after, but this predictability is a key selling point for auctions. However, this certainty can be unnerving for some sellers because they are not in control of negotiations. That said, when potential buyers arrive at an auction, they know that they want to buy and how much they are willing to pay. The deadline of an auction motivates buyers to do their homework, get financing approved, read through contracts, and register, so by the day of the auction, they are ready to buy. The sense of urgency created by this tight timeline also encourages buyer interest.

Depending on the market, selling with a traditional realtor can take substantially longer. This process involves any improvements and staging, listing the home, multiple showings, negotiations, and the time from when the sale contract is signed to the time of the contract settlement. This time period ranges significantly depending on market activity, price, location, and other outside factors.

Cost

The costs associated with selling through auction versus selling with a realtor are competitive and depend on a number of factors. In an auction, there are auction fees and costs, and the seller pays for marketing out of pocket. However, quick property turnaround can reduce insurance, tax and maintenance costs associated with holding the property on the market. The auctioneer fee typically ranges from 1-3% of the sale price, with the focus on “impact marketing” that showcases the property to potential bidders through signage, direct mail print campaigns, online and social media advertising, and other media outlets to promote buzz and attention for the upcoming auction. When selling through auction, the seller pays the minimum amount of closing costs required by law, including the preparation of the deed, revenue stamps, and the seller’s portion of necessary taxes.

Selling through a realtor is more inclusive of various costs within the agent’s fee, including marketing and other promotional materials. Because of this, the sticker price is often higher but more predictable when selling with a realtor. The buyer also has some control of seller’s costs at closing, as they can negotiate repairs to be made or for the seller to pay all closing costs.

A house sold through auction is either offered “with reserve,” which means that the seller sets the lowest bid that they are willing to accept, or “absolute,” which means the seller accepts the highest bid without reserve. If the property is sold “with reserve,” the seller can decide not to sell the property if the highest bid does not reach their minimum bid price. In this situation, the seller still may still incur auction expenses. This reserve price is based on the property’s market value, ensuring that the seller gets the home for what it is worth. While no one – no auctioneer or real estate agent – can guarantee that a seller will get the price that they have in their head, the reserve system provides the seller with a “safety net.” An Absolute auction will attract 100% of the buyers, so consequently we typically see 15-20% higher values.

Market value is determined the same way when selling through auction or real estate agent. Is your home a fixer-upper or move in ready? Where is your home located? Are there other homes for sale nearby? However, because auctions are on a set timeline, the seller avoids the extra costs of keeping a property on the market, such as mortgage interest, maintenance and repairs. Additionally, because of the competitive nature of auctions, the price can be driven up by competing bidders. With a realtor, if a home is sitting on the market for a long time, buyers have the ability to negotiate a lower price for the property being sold.

Control

Selling through auction gives the seller a significant level of control over the sale. Auction properties are sold “as is,” so the sale of your property is not tied to any appraisals, inspections, financing uncertainties, or other conditions that can be determined by the buyer when selling through a realtor. Because auctions:

  1. require bidders to pre-qualify for financing before registering,
  2. guarantee a sell date,
  3. eliminate the possibility of unscheduled or drawn-out showings,
  4. removes the seller from negotiations, and
  5. guarantees bidders who are ready to buy, much of the uncertainty of the selling process is removed.

When selling through a traditional realtor, the buyer is able to set purchase contingencies, which also allows them to back out of the deal if these contingencies are not met or if their loan is not approved. In this situation, the buyer also typically sets the closing date, whereas in an auction, the seller and the auction company determine the date and time for the sale of their property.

Overall

At the end of the day, there is a relatively specific set of circumstances in which selling through auction is the best strategy, but when these circumstances are met, selling through auction can be fast, profitable, and predictable. According to the National Association of Realtors, it is best to access the market, the property, and the situation when decided whether or not to sell your property through auction. If two out of the three circumstances suggest selling through auction, you’re in the clear to contact an auctioneer, like Higgenbotham Auctioneers.

Auctions are best in a market:

  • That is changing quickly
  • With some buyer interest and some inactivity
  • In which your property is unique and in high demand
  • Has either an inventory shortage or surplus

Auctions are best if your property:

  • Has high equity
  • Has high seller carrying costs
  • Has features that are unique or difficult to value
  • Is attractive to a specific type of buyer

Auctions are best if you, the seller, are:

  • Downsizing
  • Limited on time
  • Interested in quick cash
  • Looking to liquidate a property, potentially including its contents
  • Not interested in doing work on the property
  • Not interested in direct involvement
  • Ready to or have already purchased other property
  • Not interested in paying traditional realtor commission

 

Have some additional questions or interested in selling your property? Call Higgenbotham Auctioneers today or contact us online today.