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Single Family Homes/Condominums and Townhomes: Developers and private home owners can maximize the price for that unique home within six weeks with the auction strategy. |
AUCTION FORMATS
Sealed Bid Auctions: Prospective buyers submit bids within a competitive environment to the offices of Inland Real Estate Auctions, Inc., along with certified funds as earnest money. All bids are confidentially retained for the seller's review and are irrevocable for a specific amount of time, allowing the seller to review the winning bidder.
Open Outcry Auctions: This auction method brings together serious, informed buyers in a single venue, for the purpose of competing to obtain a given property. Potential buyers advance through a specific due diligence process, which culminates in the auction.
OFFERING STRATEGIES
Reserve Offering: A property offered with reserve is subject to a seller's acceptance, usually within a period of three to five days following the auction. During this period, the high bid is irrevocable and binding on the bidders. The seller also has the option of accepting the high bid at the time of the auction.
Without Reserve Offering, Subject to a Minimum Bid: Prior to the auction, a minimum bid is established and is used in marketing the property. This option allows the seller to attract a substantial amount of competitive bidders, all drawn to the auction by an "attractive price." The minimum bid format creates a large base of potential buyers who engage in a bidding competition, maximizing the selling price.
Absolute Offering: Absolute offerings are sold without any seller reserve, and the high bid is accepted at the time of bidding. This strategy can be used in conjunction with other strategies to maximize results.
COMPETITIVE ADVANTAGES
Sellers enjoy a host of benefits, including control over a predetermined marketing time-line, terms of the sale and precise knowledge of when the property will sell. Limited property showings are scheduled well in advance and gather a large number of pre-qualified prospects together to view the property.
Buyers enjoy many benefits as well: Buyers compete fairly and within the same parameters as other buyers avoiding long negotiation periods.
AUCTION BENEFITS
* Enables a date-specific sale, turning real estate into a liquid asset
* Stimulates the market, creating immediate demand
* Establishes market value for unique and difficult- to-value properties
* Focuses attention on the asset, often freezing activity on competitive properties in the market
* Eliminates or curtails carrying costs associated with holding property for long periods of time
* Creates strong market presence through intense advertising period
* Virtually 100% of properties that sell at auction come to closure due to Inland's pre-planning strategies
