Are You Curious About Auctions?
Brokers like you are looking to add new ways to increase their sales and expand their network. Compass has developed a new “ToolKit” for those brokers who are ready to increase their edge in the market. Take a look at the FAQ section below to get started down the path of making more money.
The Number #1 Question That Brokers Ask....Do I Get Paid?
Of course you do. We don’t expect you to work for free. We know how hard you have worked to establish your clientele.
You may actually earn more than you would in a traditional listing.
Compass has designed a new approach that could actually allow you to make your full commission percentage or more even when working with other agents, and our firm. The process can actually cost your seller less commission fees as well. No, were not kidding! We are totally serious when it comes to taking care of brokers, sellers and getting paid.
We work through every detail up front with you and your seller so that everyone is comfortable with the process.
- Potential to earn more money
- Commissions are split similar to a traditional process
- Seller generally pays less in commissions but you may actually make more
- You don’t encounter any out of pocket expenses
Keep reading to see the rest of the benefits by adding the Compass Auction “ToolKit” to your sales tools.
Ready To Chat: Email Us
The Number #2 Question....How Does This Work For My Seller?
- The seller knows the exact date and timeframe the property is going to sale.
- Sellers incur less Expense. Property sales “As Is” eliminating expensive repairs and updates.
- Buyers compete for the sellers property driving the potential for a higher sale amount.
- Competitive Bidding vs. Standard Offer Scenario:
- Competitive Bidding: Buyers compete against each other and can drive the price of the property well above expectations.
- Offer Scenario: generally the offer is only the asking price or a small percentage above asking or goes down during negotiations.
- No Haggling or Hassles. Competitive bidding ensures fair market value and there is no reverse negotiations. The price only goes up, not down!
- The seller generally pays approx. half of what they would normally pay in commission fees
- Your seller maintains more control over the entire process and has less disruption in their daily lives. We all understand that this can become a situation for some sellers when trying to schedule showings. By utilizing the auction preview process, dates and times are scheduled in advance. This will eliminate a lot of disruption in your sellers lives.
- Auctions can be live and online reducing traffic on the sellers property
- If you are a participating broker you stay actively involved throughout the process and assist with handling open houses, listing information, signage and some other general practice activities.
- Seller knows the exact day the property will offered for auction
- Competitive Bidding can drive the price above expectations
- Sellers incur less Expense Property is sold “As Is”
- Eliminates disruption in the sellers daily lives. Property preview and showing is scheduled in advance.
- NO HAGGLING OR HASSLES
- Price only goes up…Not Down!
Ready To Chat: Email Us
Is This An Auction Property
Not all properties and/or sellers are suitable for auction.
Types Of Properties To Consider For Auction:
- Property is in high demand.
- When a seller is expecting that a property is in high demand and that a multiple offer scenario might be expected, this is an ideal situation for taking a property to auction. Competitive bidding will ultimately drive the property well above expectations.
- Sellers have equity in the property.
- The property value should exceed the sellers current mortgage payoff.
- As you can imagine a seller that is maxed out financially in a property is not a suitable situation to consider for auction. Unless the financial instituation would like to consider a workout solution for the sale of the asset and is willing to take the necessary steps to bring the property through the auction process.
- Property is in need of repairs or updates.
- Auction properties are “Sold As Is”
How Does The Auction Process Work
If you are ready to move forward with the auction process and have powerful competitive bidding for your real estate. Below is the general flow of the auction process. However, an expedited timeline can be arranged and the property sold through a QuickSale Process.
PHASE 1: Days 1-7
- Contact Compass: Email
- Start the discussion by submitting the form at the link above
- Schedule a time that we can meet or discuss the auction process with you.
- Auction cooperation agreement is signed and received.
- Terms and Conditions set for the auction
- Auction date is scheduled.
- Auction signs are placed on property and intersections
- Property details and photos are completed.
- Auction marketing campaigns begin.
- Potential title review begins
PHASE 2: Days 8-15
- Customized auction marketing campaign continues
- Open house and preview days are scheduled
- Prepare house for scheduled preview dates
PHASE 3: Days 16-30
- Scheduled open house and inspection preview hosted.
- Customized marketing campaign continues and evaluated based on responses and feedback from open house.
- Schedule for any special appointments or professional inspection requests
PHASE 4: FINAL Days 31-35
- Buyers broker participation agreement time closes 48 hours prior to auction
- AUCTION DAY!
- If the sale is held live onsite the auction the Compass team arrives and prepares for event
- If the sale is an online only auction the auction facilitator team is managing all online registrations and bidder questions.
- Competitive bidding begins and bidders compete to be the winning bidder for your property.
- The high bidder pays the earnest money deposit and signs the contract.
- The closing process begins and sellers finalize moving plans.
CLOSING: Days 60-65
- The real estate closes.
Ready To Begin?: Email Real Estate Division