Selling your home at auction in Staten Island is a growing practice throughout America, because it offers an opportunity to sell your house fast, without paying real estate agent fees, and often with a profit.
However, as with all things, there can be downsides to auctioning your home rather than selling it through the traditional real estate sale process with an agent or to a real estate investment firm like Tristate Holdings 167 Inc.
In this article I’ll dive into some of the do’s and dont’s of auctioning your house in Staten Island and surrounding areas and discuss the question of “Is Auctioning Your House A Good Idea in Staten Island, NY?“
Auctioning your house can be a viable option in Staten Island, as it can provide benefits in certain situations. However, whether it’s a good idea depends on various factors, and you should carefully consider the pros and cons before deciding. Here are some key points to consider:
Pros of Auctioning Your House:
Quick Sale: Auctions can lead to a fast sale, which may be appealing if you need to sell your property quickly.
Market Value: The competitive bidding environment in an auction may help you achieve market value or even higher for your property.
Certainty of Sale: Once the auction is complete, the winning bidder is typically legally obligated to purchase the property, providing a level of certainty in the sale.
No Negotiations: Auctions often eliminate prolonged negotiation periods, as the terms and conditions are set before the auction begins.
Cons of Auctioning Your House:
Uncertain Outcome: While auctions can lead to competitive bidding, there’s no guarantee that your property will sell, especially if there’s a lack of interest among potential buyers.
Costs: There are costs associated with auctioning, including auctioneer fees and marketing expenses. These costs might be higher than traditional selling methods.
Publicity: Auctions make the sale of your property a public event, which may not be suitable for everyone. Some sellers prefer a more private and controlled selling process.
Perceived Distress Sale: In some cases, potential buyers may assume that a property is being auctioned because the seller is in financial distress, which could impact offers.
No Contingencies: Auction sales are typically “as-is” without contingencies, meaning buyers can’t request repairs or back out based on inspections.
Property Type: The suitability of auctioning may depend on the type of property you have. Unique or highly desirable properties may attract more interest in an auction.
Market Conditions: Consider the current real estate market conditions in Staten Island. Auctions may be more successful in a seller’s market where demand is high.
Reason for Selling: Your motivation for selling can influence whether auctioning is a good idea. If speed is a priority, an auction may be more attractive.
Before deciding to auction your house, it’s crucial to consult with real estate professionals, including auctioneers and real estate agents. They can provide insights into the local market, help you understand the auction process, and guide you in making an informed decision based on your specific circumstances and goals.
Is Auctioning Your House A Good Idea in Staten Island?
If you’re looking at auctioning off your Staten Island house, keep in mind that there are several preparations that you must make before the actual auction starts.
- In order to actually get your house auctioned off, you must first find an auctioneer in Staten Island.There are many auctioneering companies out there today, so do your research before picking one to represent your house. One place you can start is your local phone book, a referral, or head over to the National Auctioneers Association website and do a quick search for auctioneers here in our area of NY.Look for those with plenty of experience, and even try attending an auction or two, just to get a feel for how they run things. Make sure to find out their fees that they charge for their services, as they can sometimes run quite high. In some instances they may take up to ten percent of the houses cost, greatly reducing the amount of profit that you will receive… sometimes much lower.Or heck, if you don’t want to hire an auctioneer… you can do it yourself. A good auctioneer can really help drive the price of a house up with their skill… but you can run the auction yourself as long as you’re clear about the rules of the auction with bidders, the starting bid price, whether they have to have cash and a deposit at the auction, etc.
- Decide which kind of auction you want to run – Absolute or Reserve?Once you feel that you’ve selected the house auctioneering company in that’s best for you, establish which kind of auction you want it to be, absolute or reserve.In absolute auctions there is no minimum limit that your house must earn in order to be sold. This means that whatever the highest bid may be, is what you’re going to get.Reserve auctions are those that have a minimum limit, and if it doesn’t reach that limit, it doesn’t get sold.
Although it seems like a clear choice between the two, don’t assume that reserve auctions are necessarily better. Sometimes if bidders aren’t willing to reach the limit, it will never be sold and you’ll be sitting on a house that you don’t want. Also, auctions that are “no reserve” (or absolute) tend to attract more potential bidders to the auction looking for a great deal… and if one of them gets wrapped up in the bidding frenzie… that could mean the difference between selling the house that day and not selling it.
Think carefully about making a decision, and try to decide what it is that you want more. If you want to sell your house as quickly as possible in , then doing an absolute auction is the quicker option. If not, then perhaps a reserve auction would be more in your goals.
- Don’t leave out any faults about the house from your auction descriptionA really important step in selling your house at auction here in Staten Island is to list all the problems that your property has. Don’t leave out any faults about your house, because if you do the buyers have a right to come after you for any flaws that you didn’t list out before the auction.
- Don’t go into an auction with fantasies of a bidding war erupting, leaving you with an enormous profit.Place a realistic price that you hope to earn, and don’t be too disappointed if your house sells for less than you think it’s worth. You may have an emotional attachment to the house that the people bidding on the house don’t have.Auctioning your house in Staten Island may bring in less money than a real estate sale, but it is relatively quick, and can spare you the heartache and stress of the more traditional approach.
Why Are You Thinking About Auctioning Your Staten Island House Anyway?
You landed on this article for a reason… auctioning off your house has crossed your mind.
It may help you sell your house more quickly… so why not give it a go right?
Before you choose to auction off your local house… try another option first.
- In any condition
- Any part of town and even other parts of New York
- ugly houses, pretty houses, houses in great shape, houses that need lots of repairs
- houses with lots of equity and even houses with little or no equity
We’ll pay a fair price, we can close fast (in as little as 30 days), and you won’t have to fix up the house at all.
If you’d like to see what we can pay for your house BEFORE you decide to auction it off… reach out to us.
You can call us anytime at 1-(888) 788-7478 or just click the link below and fill out the form on the next page to start the process.
So, Is Auctioning Your House A Good Idea in Staten Island?… that’s up to you to decide. But if you want to see if working with us makes more sense first before you jump into the “auction” world… submit your info below to get started today!
Here’s another great read that we found when writing this article on some more tips and questions you should ask yourself before you auction off your house.