Paying homage to the old adage, “necessity is the mother of invention,” many real estate agents are finding alternative ways of selling real estate. In addition to the traditional method of advertising their listings in the local newspaper, or even on their website, an agent has the option of selling homes through an online real estate bidding site.
Distressed properties are not the only kind of homes you will find on an auction site. The reasons a client would agree to this option are myriad – perhaps he has inherited a home that he doesn’t have time, or the inclination to deal with, he wants to get rid of the property quickly due to a divorce or he’s just in a hurry to sell his home.
According to the National Association of Realtors:
“approximately 268.4 billion was sold at live-auction in 2008, a decrease of slightly less than 1% compared to 2007. Furthermore, one of the fastest growing auction areas in 2008 was the residential real estate sector, while land and agricultural real estate auctions have remained with steady growth meaning that business is going up for real estate auctioneers, even in this poorly performing economy.”
RealtyBid.com is a reputable online real estate bidding site that caters to both buyers’ and sellers’ agents, as well as individuals in search of properties. RealtyBid.com suggests that there are 3 requirements necessary to be successful in selling a home on their website:
- The listing agent must be keenly aware of the true value of the home and share that information with their client.
- The seller needs to be truly motivated and ready to sell, offering a realistic sales price.
- The home must receive great marketing exposure. Although the home will receive a great deal of exposure through RealtyBid.com, agents need to boost that exposure through their own advertising efforts.
A short timeline is definitely an advantage in an auction. RealtyBid.com offers 7 day, 14 day or 21 day bidding events and as of the date of this writing, the upload fee (per property) of $150 applies to any time period you might select. Those properties which didn’t make the reserve price have an additional 7 days after bidding ends which allows new and current bidders more time to negotiate.
While online bidding may not be for everyone, it is definitely a strategy that a realtor should offer to their highly motivated seller.