How to Auction a House

Homeowners usually auction a house when they want to avoid open houses and the hassle of keeping the house in a pristine condition every time a prospective buyer comes over. This method can bring in offers fast and save a seller's time. Follow these guidelines to auction off your house.

Difficulty: Challenging

Instructions

1. Search for a real estate company with a good reputation. Contact a Realtor to discuss the commission fee and auction process. Also speak with auction agencies and compare their rates with the service offered by the real estate companies. Auctioning a house via a reputable company can attract more buyers.

2. Choose a company to handle your house auction and discuss all aspects of the auction process with a representative. Carefully read the final draft and sign the contract.

3. Work with your agent to determine a suitable starting price for the auction. Consider the current conditions in your local real estate market. You also have the option of putting a reserve on the house price. This means that the house will not be sold until a bidder meets the reserve price.

4. Actively participate in the auction of your house. Observe what kind of advertising the agent uses including listings in auction catalogues, fliers and newspaper ads. Discuss any concerns that arise.

5. Bring your lawyer on the day of the auction, if required in your state, to assist with the sale documents. You can also select a future date with the buyer to go through the paperwork.