How is Elliot Paul & Company Auctions different from other auction companies?
Most of the auctions organized by Elliot Paul & Company Auctions are absolute auctions. This means that the property or real estate will be sold to the highest bidder, regardless of price. There are no minimums, no reserves – if there is just one bidder, the property will sell and a contract will be signed that day. This is ideal for a few reasons.
First, the seller can feel confident the property will sell. Thanks to our strong, effective marketing efforts, it will sell for market value or greater.
Second, the seller can feel confident there are no hidden tricks. Some other auction companies advertise auctions that are basically open houses with asking prices that are higher than most opening bids. That’s not how we operate. However, Elliot Paul & Company Auctions also offer auctions with reserves, which means that the property will sell only with seller’s confirmation. We want you to be comfortable with the auction, but we also want to ensure you receive the highest bid possible. Our trained and experienced auctioneers can help you with this decision.
Why does experience matter?
The auctioneers with Elliot Paul & Company Auctions have 30+ years experience. We know the market and can provide knowledgeable advice to potential sellers and buyers. We can advocate for the seller and ensure the property is sold for the best market value. These days, the real estate market is especially tough. Experience is vital to a successful sale.
What do I need to do to bid at auction?
Review the Terms and Conditions for each specific auction. In general, you must produce a cashier’s check as depending on the auction, made payable to Elliot Paul & Company Auctions, as well as a driver’s license. You’ll hold on to that check unless you are the willing bidder; in that case, that will be your deposit on the property, along with a personal check to total 10 percent of the contract price.
Must I register in order to attend an auction?
No! Auctions are entertaining and fun. We offer public outcry auctions. Feel free to come and watch, but it’s always wise to be prepared to bid in the event of finding a deal that’s too good to pass up!
What if I am interested in purchasing the property before the auction?
Contact the auctioneer as soon as possible. Any proposal in writing must be offered to the seller. Although rare, we have canceled auctions because an acceptable offer was made in advance of the auction date.
What are the advantages to buying real estate at auction?
For the buyer, there is a presumption of a great deal at auction. Absolute auctions are the truest interpretation of the market – there aren’t any inflated expectations because the property will sell only for what bidders are willing to spend.
What are the differences between a reserve auction and an absolute auction?
A reserve auction is one that sells only with seller’s confirmation. That is, a seller might demand a certain minimum in order to accept the highest bid. In general, reserve auctions do not garner as much interest from the market as an absolute auction, which sells to the highest bidder, regardless of price. We encourage our sellers to hold absolute auctions, which almost always bring the highest bids.
Can I inspect the property prior to the auction?
Yes, absolutely. Call our offices to schedule a tour. We hold numerous open houses in advance to the auction. Also, we normally have the property open for inspection an hour prior to the auction on the day of.
How do I know if the property has a clear title? What if there is a lien?
Elliot Paul & Company Auctions guarantees clear title on the property we auction. Otherwise, you are buying the property “as is.”
What is the buyer’s premium?
The buyer’s premium is 10% of the highest bid. That is, if you have the highest bid at $100,000, you will be paying $110,000 in total. This premium goes toward covering the cost of the auction and any broker’s commissions; it is usually equal to the original advertised real estate price and real estate broker’s commissions you would otherwise pay in a traditional sale.
What is the timeline for an auction?
From the seller signing a contract with Elliot Paul & Company Auctions to closing, auctions take about 60 days. The first month is spent marketing the auction, showing the home or property to potential bidders and generating as much interest as possible with media releases, email blasts and other forms of advertising. Once the auction takes place, the contract stipulates the closing date, which is normally 30 days after the auction date. Please note that the closing is not contingent on the buyer receiving financing. Time is of the essence with auctions, and we work hard to sell property with satisfaction from both the buyer and the seller in the shortest amount of time possible!