Sellers of high-end, luxury properties are now seeking a different model of selling their homes. It’s not uncommon to search for alternative methods after being disheartened by the traditional real estate model. Older methods of selling, involving wasted time, energy, and money, can be converted to methods requiring less time and less stress.
Platinum Luxury Auctions is a reputable luxury real estate auction company that sells luxury homes in smart, efficient ways. We forgo traditional selling methods to embrace updated and progressive methods.
Here we debunk 7 myths about selling your luxury home with a real estate auction.
1. More Luxury Auctions = Higher Profit
Some sellers believe that auction companies dealing with multiple auctions must have the highest quality service and the largest gains. This is far from the truth in the luxury real estate auction industry. When a company is selling more homes via auction, that means they are limiting the amount of time dedicated to each property. This can lead to neglect of leads due to insufficient marketing, less personal support, and a lack of a high-quality experience.
Additionally, it is nearly impossible to keep track of its inventory with so many auctions going on. The result is that these companies sell their properties for far less (around 30-40%) than a boutique firm would. Companies with higher auction rates also have a correlated cancellation rate, they are unable to keep and maintain enough bidders on a consistent basis.
Platinum Luxury Auctions is fully aware of its clientele’s need for support and therefore only takes on a limited number of auctions per month. We do this to create a unique and personalized experience for each seller. The experience includes opportunities for more in-depth conversations, greater research into your selling needs and challenges, and a customized selling platform that enhances your home’s exposure and puts it in the right buying hands.
2. You’ll Get Less With Auctions
Auctioned properties can sell for far greater amounts than they would in a traditional setting. With the right luxury real estate auction firm, like Platinum, you can be rest assured the successful sale will be a win for all involved. When the appropriate buyers are in the room, the seller comes out with gains. Platinum Luxury Auctions is highly renowned for selling high-priced luxury estates internationally. Our selective process ensures that the properties we work with get the utmost attention and return fair market value. Our vetting process managed by a high-tech platform is highly nuanced and overseen by the highest executives of our team. Similar in fashion to that of Sotheby’s and Christie’s auction houses.
3. Auctions Can’t Be For Luxury Homes
Specialties vary across different auction companies, while some may specialize in selling foreclosed or distressed homes, others specialize in unique assets. Contrary to belief, most luxury homes sold at auction are not foreclosures.
Platinum Luxury Auctions does not sell distressed or foreclosed properties. In fact, we have a highly selective process to ensure that we are delivering only the very best properties to our buyers. We inspect the home’s quality before selling to meet buyer standards.
4. More Bidders = Greater Chance of Sale
People believe that a higher number of bidders at an auction translates to a higher profit for your home. This isn’t always the case. Public auctions attract many different types of interested parties: the bidder’s family, friends, and neighbors who are curious about the worth of the property. These curious individuals aren’t interested buyers and should be left out of the equation for potential bidding. The true indicator of a successful sale is not the number of people attending the auction, but the motivation and qualifications of the bidder.
At Platinum Luxury Auctions, we encourage bidders to be open about their intentions and require bidders to register to assist in developing a greater understanding of those interested in the property. Bidder registration is a safe and secure way to gauge the interest while also being transparent with sellers for the highly-anticipated auction day.
5. Online Bidding Is Easier
With the increase in reliance on technology for buying and selling, there’s been a deficit in actual personal experience. Online bidding can hurt one’s experience in selling luxury property. It creates an impersonal selling experience and creates a disconnect from seeing everything happen in real-time. Online bidding diminishes the sensory experience of being on-site and taking in the personal interactions with the other bidders and support from our auction team.
Platinum Luxury Auctions conducts almost every auction on-site at the property. Bidders are free to roam the property before bidding begins. With online auctions, this is virtually impossible. All of our auctions are taken care of by extremely professional auctioneers and managers who are more than happy to assist buyers.
6. My Home Doesn’t Need Marketing
Several real estate agents forgo marketing their properties mostly because they have to pay out of pocket in traditional models. This is a huge issue down the line for the seller because it ends up driving costs higher. Without marketing, the seller loses more money than a marketing campaign would if your home doesn’t sell within 60 days. While luxury properties are known to stay on the market for over a year and a half, when a seller adds up their costs, the traditional real estate model just doesn’t prove to be cost-effective.
Platinum Luxury Auctions has an exclusive marketing program that helps the selling process seamlessly. We customize the sale to fit your home and better your chances of selling faster to a greater amount of interested and motivated buyers. Many people find Platinum after trying to go through a real estate agent and failing for years to sell.
7. My Home Is Too Unique For Auctions
Perhaps your home is unique and stylistically different from others. Maybe it’s not the typical, traditional luxury home or located in one of the most sought-after areas. Auctions aren’t critical about what your home looks like or if it has the most advanced features. That’s where Platinum’s international marketing campaign steps in and harnesses that uniqueness.
At Platinum Luxury Auctions, we vet all prospective properties through a rigorous but effective screening process before we agree to market to them. This process helps our firm analyze the market value and the potential of attracting motivated buyers who are interested in what you have to offer.