Robert Calistri's, blog,

Here's how our auction process works. All properties sold at auction are sold "as is, where is" with no contingencies and the closing usually occurs within 30 days of the auction.

The first thing is to determine if the property is a good candidate for the auction process(More info at our web ( www.realestateauctionsllc.com). We do this by looking at comparables sales over the past two months and the tax records. The process is used to advise the seller of a reserve price which has the highest probability of selling their property.

Next, we select an auction method. An absolute auction does not set a minimum or reserve amount, allowing the property to be sold at the highest bid no matter the amount. This could be above or below the price owners hoped to receive. A reserve auction sets a minimum the seller wants and allows owners to accept or reject the final bid should it fall below the seller's expectation. These auctions start at a minimum amount, which may or may not be disclosed to the public before the auction day. The reserve auction is the method we usually advise.

In all cases the buyer pays a 10% buyers premium on the sale in a real estate auction. The seller does pay in advance for the advertising which includes major local newspapers, and anything used specify for their property sale. We usually run advertising in local newspapers for 28 days prior to the auction and send fliers out to all who call looking for information. We do all the advertisement placement and scheduling for the local newspapers. The auction property is placed on our web site. We also send out emails to realtors and individuals who have ask to be placed on our mailing list, at no charge.

At the time that you and the seller decide to auction the property, the property is transferred to us for the period of the auction (about 45 days). We list the property as a single agent only for the period of the auction. During the period prior to the auction date we sometimes get buyers who decide to make an offer on the property. The seller can accept or reject the offer and if accepted the buyer pays the buyer's premium.

When the property goes to auction and the auction concludes with a bid offer. The seller has the option to accept or reject the bid offer if a reserve auction was used. If the homeowner accepts the bid, both sides enter a no-contingency contract to close within 30 days.
I hope this helps, call me with any questions.
Sincerely,
Bob Calistri, Broker
Real Estate Auctions, llc
727-643-5007
bob@realestateauctionsllc.com
www.realestateauctionsllc.com