Auctions are the most unique and valuable way of selling almost any type of personal property.
Some of the most popular auctions are those that involve household items, or livestock or antiques. But auctions involve so many more possessions: automobiles, office equipment, art, machinery, industrial equipment, electronics. One very rapidly growing area is real estate. More and more people are buying and selling their homes and land by the auction method.
People are Flocking to Auctions
Auctions are one of the oldest forms of selling property; their history spans centuries. And time has only increased their popularity. A research study commissioned by the National Auctioneers Association shows that auctioneering is an industry on the rise.
Did you know that more than half of the total U.S. population has attended a live auction?
In 2004, the value of all goods and services sold at live auction in the U.S. was approximately $202.7 billion. This figure is up 6.8% over 2003 and translates into a huge number of satisfied buyers and sellers of goods.
They’re entertainment at their finest. That’s what most consumers say about auctions and that’s the number one reason they attend. So what makes them so fun and entertaining? Some say it’s the unexpected and the idea of experiencing something original.
All in all:
- 83% think auctions are an exciting way to get good deals
- 51% think they offer a great value on items
- 65% think auctions offer exciting items they wouldn’t otherwise purchase
- 53% like the excitement of getting a good price
In addition, consumers find auctions fun because they’re a rewarding activity for the whole family to enjoy. On average, consumers are willing to drive 1.3 hours to attend a live auction, with 75% bringing the family when they go.
The Value of Selling at Auction
How can auctions benefit you as a seller? Why are they the best way to sell property? Well, there are many reasons
- Speedy Process, Quick Turnaround.
An auction is immediate. It happens during a set time and is completed during that time. It’s quick and efficient.
- You Set the Time and Place of Your Sale.
It’s as simple as that. You work with the auction firm to schedule what works best for you.
- You Know Exactly When Your Property or Goods Will Be Sold.
There’s no wondering whether or not your property will sell. It WILL sell, and it will sell during the set auction time.
- Comprehensive Marketing of Your Property.
Part of conducting an auction is marketing it to the general public to engage as many qualified bidders as possible. Auctioneers employ a suite of marketing tools to ensure that the right buyers are reached. Marketing includes social media, such as Facebook, Instagram, and Google, targeted email blasts, mailing lists tailored to specific buyers, direct mail, signs, syndicated websites, public relations, radio, t.v. and print media, as well as direct personal contact. Auctioneers are marketing specialists whose focus is to get you the most money for your assets.
- Buyers Come Prepared to Buy.
Auction participants are ready, willing, and able to purchase assets, whether it be real estate or personal property. Prospective buyers learn about the assets through various marketing efforts utilized by the auction company. An informed buyer is a prepare buyer!
- No Negotiations.
Auctions provide a transparent, level field for all participants, taking the seller out of the position of negotiating with individual buyers. Buyers compete with one another, competitively bidding to achieve the highest and best price for the seller And did you know that 9 times out of 10, an auction brings in the fair market value, if not more, for any item put across the auction block?
- Exciting Atmosphere.
There’s no more exciting atmosphere than an auction. Whether an online auction, live in-person auction, or a simulcast auction, action is fast-paced and bidders enjoy the thrill of winning the bid.
- Auctions Work Well in Both Good and Bad Economic Times.
People love auctions because of their transparency, and the fact the bidders know when the property will sell. Statistics show, that in favorable or challenging economic times, auctions remain a steady force. Anytime is a good time to consider a professionally managed auction.
Hiring an Auction Company
When you make the decision to sell by auction, the most important thing you must do is hire a qualified and experienced auctioneer or auction company to handle your auction.
There are thousands of auctioneers throughout the United States who offer a wide range of auction services to consumers. So what do you look for when hiring an auctioneer or an auction firm?
First, look for someone who specializes in selling the type of property you want to sell. All auctioneers have specialty areas and most have more than one. What do they know about the products or goods you are selling?
Experience is another critical element. How long has the auctioneer or the auction company been in business? What is their reputation? Look at their web site, if they have one.
Most importantly, look for an auctioneer who is a member of the National Auctioneers Association. Most will display this logo on their business cards, signs, web sites and other business materials. The NAA is the largest professional association for auctioneers in this country, working for the betterment of the auction industry. It offers continuing education programs for auctioneers to help them keep up-to-date on the latest trends and technology for the auction industry.
The NAA also offers a wide range of designation classes to make auctioneers “specialists” in areas such as personal property appraisal, real estate, estate auctions and more.
All members of the NAA abide by a code of ethics that guarantees high standards to customers and fair business practices.
In short, this symbol means you have made the best choice when it comes to auction services!
When meeting with the auction company:
- Ask about their contract or written proposal to provide you services. Get details on what is involved.
- Find out how the sale will be marketed. The success of the sale depends a great deal on the marketing effort behind it.
- Ask about setup and cleanup of the auction.
- Ask for references. And when you get them, check them out!
We work hard for our money, but most of us spend the majority of our waking hours working. Our money pays for our homes, our land, our automobiles, insurance, clothes, food, all of our possessions and so much more. So when it comes to selling those possessions and property, the smartest thing you can do is let an auctioneer help you continue to get the value you deserve. A professional auctioneer knows what land is worth, what household items and office equipment are worth, and what personal property is worth. A professional auctioneer will manage your sale so you can get a good value from these items in which you have invested your hard earned money.
You work hard for your money, and we will work hard for your money, too.
(Information supplied by the National Auctioneers Association)