Selling a house at auction is a trend that is gaining popularity. A quick transaction, the absence of real estate agency fees, and often a profit for the seller are just a few benefits of selling at auction. However, there are disadvantages to selling a house in Lancaster, PA at auction. We will discuss some of the dos and don’ts of selling your house at auction in Lancaster, PA.
Some “Must Do” Actions for Selling Your Home At Auction In Lancaster, PA
Before you make your decison about selling your home in Lancaster at an auction based on an HGTV episode or a few YouTube videos, we recommend a few more dos and don’ts. Selling a property in Lancaster is a big financial decision and one that needs consideration. We also recommend that you talk to others about the options.
Do Your Auction Research
If you’re thinking about selling your Lancaster house at auction, keep in mind that there will be many of preparations to be made before the actual sale starts. HGTV has a detailed article on preparations for selling a home at auction that may be helpful. To have your house auctioned in Lancaster, you must first find an auctioneer. Nowadays, there are many auctioneering firms available, so do your research before selecting one to sell your house at auction. You might start by asking a friend or looking up auctioneers in our region of Pennsylvania on the website of the National Auctioneers Association.
Experience A Few Auctions For Yourself
Go to a few auctions and look for those with a lot of experience to get a sense of how they handle things. As their rates can occasionally be quite high, be sure to ask them what they charge for their services. The amount of profit you would make would be significantly reduced—in some cases much less—because they might take up to 10% of the cost of the house.
Consider A DIY Auction To Save The Commission
If you don’t want to hire an auctioneer, you can even handle it yourself. A skilled auctioneer can considerably help raise the price of a home with their skills. However, provided you are clear with bidders about the auction’s terms, such as the starting bid price and whether or not they must bring cash and a deposit to the auction, you are permitted to conduct the auction yourself. Choose between holding an outright or a reserve auction.
Make Sure You Understand The Type Of Auctions And Choose Wisely
Choose between an absolute or a reserve auction after you’ve chosen the Lancaster auction company that’s best for you. Your house can be sold at an absolute auction for any price; there is no minimum price required. As a result, you will receive whatever the highest bidder has to give. In reserve auctions, the minimum offer must be met in order for the item to be sold. Even though it seems like an obvious winner between the two, reserve auctions aren’t always better. The house might never be sold, and you might be forced to live in a place you don’t desire if bidders are unwilling to exceed the maximum.
Additionally, “no reserve” (also known as absolute) auctions tend to draw more prospective bidders looking for a great offer. It can mean the difference between selling the house that day or not at all if one of them gets caught up in the bidding war. Before making a choice, thoroughly weigh your options and try to decide what you value more. An absolute auction is the best option if you want to sell your house in Lancaster as quickly as possible.
Some “Don’t Do” Actions for Selling Your Home At Auction In Lancaster, PA
Just as important as the items on the to-do list before selling at auction, we want to recommend some items on a do-not-do list as well. In our experience, these are just as, if not more important than, the previous items. Mistakes when selling your property in Lancaster can be very costly.
Don’t Hide The Problems With the Property
Any problems in the house should be mentioned in your auction description. Making a list of all the problems with your house is one of the most important tasks in selling it at auction in Lancaster. The bidders have the right to sue you for any defects you omitted to disclose in your house before the auction if you do not disclose them.
Don’t Expect Too Much Of A Profit
Don’t enter an auction expecting a bidding war to start and walk away with a great profit. Set a reasonable asking price that you anticipate receiving, and don’t be offended if it sells for less. The other bidders might not have the same emotional connection to the home as you do. An auction might not net as much money as a standard real estate sale, but it is usually rapid and can spare you the pain and aggravation of the more conventional approach.
Don’t Neglect Other Options For Selling A Home Quickly For Cash
Why are you even considering selling your Lancaster house at auction? Your thoughts of selling your property at auction are the reason you’ve found this post. Is your home older and in disrepair? Is your home in an older neighborhood and you feel you won’t be able to sell in a conventional way? Do you have a leaky basement, bad roof, or lots of clutter? Before choosing to sell your house at auction, you might want to weigh your alternative possibilities.
A company called Awakened Home Buyers buys homes in Lancaster. We buy houses in any condition. We purchase homes that are unattractive, unsightly, in bad condition, needing numerous repairs, having a lot of equity, and even having little to no equity. We also purchase foreclosed homes, and we might be able to assist you prevent foreclosure.
You can read more about how the process works here. In a nutshell, we look at the property and make you an as-is all cash offer. There are no commission fees, no closing fees, and no hassle. We can typically close the deal in as little as seven days. If you would like for us to make you a no-pressure cash offer, please give us a call today at (717) 925-7465.What have you got to lose. If you still decide an auction is the best way to go, at least you know you have made an informed decision and have a least some idea of what the house is worth.