So you are looking to sell your house but it has been on the market for quite some time now and you need to get rid of it. Auctioning might be an option for you so here are some advantages and disadvantages of auctioning your property.
Advantages of auctioning your property
So you have just bought a new house and it needs some work doing but you are still tied down to your current house. Well auctioning your house is a great way to sell it really quickly. Obviously, you do not get all the money straight away. The buyer will have to put down a deposit on the day then will have a short amount of time to pay the rest of (often a month).
Another great thing about auctioning your house is that if you have multiple people that are interested in your house then it can exceed the initial price that you looked to sell it for. On the other hand, if the price is not met then obviously you can not accept the bid and can relist your property with other residential property auctions.
Finally, once the hammer is dropped, the property is officially sold meaning they cannot back out and if they do change their mind then there are procedures in place to protect you from any wrongdoings.
Disadvantages of auctioning property
There are always disadvantages that come after the advantages so here are a few things to make sure that you know about them before auctioning.
Auctioning can put off potential buyers simply because they do not enjoy auctioning, The competitive nature of an auction could put many people off. Obviously, the price you receive for the property might only go over by a little for the reserve price which could leave you disappointed.
Auctioning can be quite expensive as well. On the day of the auction, you will need a solicitor there so you will have to pay for their time there. Not only this but even if your property does not sell then you will still have to pay the auction fees and the auctioneer for their time as well.
Another disadvantage of selling at an auction is that it could also exceed the costs of selling with an estate again due to the fees. It is recommended that you explore the options available when it comes to selling your property as auctioning might cost a lot more than selling with an estate agent.
So there you have it, there are just a few advantages and disadvantages that you need to look at before auctioning your property. Rember that there are commercial property auctions as well as residential property auctions as well and but again, look at all the options available no matter what property you have.