Traditionally, buyers scour the market for homes that interest them by attending open houses, going on neighbourhood tours, scouting multiple online and newspaper listings, as well as contacting several agents. Sellers, on the other hand, typically work with listing agents to sell their properties to interested buyers. Unfortunately, this is not always the best option as it is not always easy to evaluate the market value of a property. Even the most experienced agent may provide misleading advice. Real estate auctions provide an alternative for commercial and residential buyers and sellers. While some cautious buyers and sellers might hesitate, there are advantages for both through the auction system.
As a seller, real estate auctions afford you the opportunity to show your property to multiple buyers simultaneously and ultimately sell it to the highest bidder. Potential buyers must qualify for financing before they are eligible to participate in the auction. As a result, potential bidders are already pre-qualified to purchase your property, which maximizes both the buyer’s and seller’s chance of concluding a deal.
Why would anyone be interested in buying a property at an auction?
Auctions offer an exclusive chance to snap up genuine properties at attractive prices with the security that the vendor is committed to selling. This is of utmost importance, especially in the case where the property has been inherited by a number of people as the purchaser will have the peace of mind that none of the vendors will back out at the last minute. Auctions make the negotiation procedure open and public, eliminating long negotiation periods. In addition to this, the purchase and closing dates are always known in advance and since the auctioneer normally prepares most of the notarial searches on the property, the period between the promise of sale and the final contract is much shorter. Moreover, through open competition, the bidder knows that he has purchased a property at a fair market price.
In theory, some of the best properties are offered at auctions because the auctioneer and his team put great effort into offering properties which are high in demand and searching out vendors that genuinely want to cash-in fast without asking for exaggerated prices and waiting for the right client to come along.
Malta Property Auctioneers is the only property auction house in Malta. We are working towards our 22nd property auction which will be held in October. Their team of highly trained staff offers professional advice and evaluation on any kind of real estate on the island.
For more information, visit: www.maltapropertyauctioneers.com