Luxury real estate auctions are rapidly becoming a favorite for buyers and sellers. The appeal of mansion auctions reaches far beyond the thrill and excitement of bidding day. A mansion auction protects the seller and buyer, ensures a fair market price, and invites the pinnacle of beauty in real estate and the best potential buyers.
For some, there is an alliance between real estate auctions for less-than-ideal properties. While these outdated associations linger, those who have been a part of a luxury real estate auction know it is quite the opposite. Luxury real estate auctions are reserved for the best of the best, both in terms of exquisite estates and elite, highly motivated buyers.
Platinum Luxury Auctions is a premium real estate auction company famous for simplifying real estate transactions for the luxury set. Through the auction of luxury homes, this company avoids the time-wasting contingencies that often weigh down traditional deals and provides a fair-market price for some of the most beautiful properties in the world. In this article, we will explain why affluent individuals auction luxury homes and why many believe it is the premier way to buy and sell exclusive real estate.
No Contingencies Means No Infringement On Time
One of the reasons luxury properties auctions are so attractive is that they come with no contingencies. As previously mentioned, the old-school method of traditional real estate deals generally includes a number of contingencies such as inspections, review appraisals, mortgage approval, etc., all of which require time. This leads to long waiting periods, which come at a high cost to the seller as they must continue with the property upkeep in the meantime.
In a luxury real estate auction, all contractual contingencies must be finalized before bidding day. These auctions mitigate the need for long-fought negotiations and the endless rotation of private showings. The entirety of the sale lasts 60 days or less, including the marketing push, locating qualified buyers from every corner of the world, the auction day, and the finalizing of agreements. Post-auction, the buyer pays a non-refunded deposit immediately upon closing. The sale then closes in no more than 30 days, sometimes in as little as one week, depending on the terms for settlement. This short-lived turnaround leads to satisfied buyers and sellers alike.
Privacy Remains Paramount
Regarding the luxury set, privacy is paramount. In traditional listings, it is more than easy to find who is selling their property and who has put in a bid. However, with luxury property auctions, both parties can retain their anonymity. Neither seller nor buyer is required to be present during the auction. Instead, sellers may use proxies to bid, and buyers may choose to work with professional auction firms. Auction films facilitate the whole process, from marketing through the completion of the transaction once the buyer has been secured.
Additionally, auctions offer more privacy for the estate itself. Open houses invite looky-loos to tour the estate with no intention of buying. Luxury real estate auctions offer exclusivity, only permitting qualified candidates to tour the property by appointment in person or virtually. Tours are scarcer, as they only happen after the buyers have been verified by the auction firm and provided proof of their financial ability to purchase the estate. Luxury auctions are commonly run in the ballroom of the estate or online, depending on the preferences of the sellers and the buyers’ location.
High-End Properties Remain Unscathed
In traditional real estate listing, a property can garner a negative impression if it sits listed and unbought for a long period of time.
As with all luxury properties, they require a luxury buyer. Because it takes the right buyer to make a sale, mansion auctions are the best way to sell high-end estate as the real estate auction company will locate these motivated individuals and entice them with marketing. Even if the estate does not sell through a luxury property auction, the owner may list again in a few months with no diminished market value.
Luxury Real Estate Auctions Offer Marketing Tools
Sellers looking to list one-of-a-kind properties need more than an open house. This type of property needs a team of specialized marketers. A team dedicated to showing the estate for what it is, a once-in-a-lifetime opportunity. They showcase the distinctive manor with the care and dedication it deserves. Most all mansions and estates come with top-of-the-line finishes, historical components, and exceptional architecture.
Platinum Luxury Auctions represents the auction of distinguished and unique properties. Working with a marketing team, well-versed in engagements and promotion efforts aimed at highly qualified buyers ensures the auction process and transaction runs smoothly and the event is a success.
A Near Guarantee of A Fair-Market Price
Through the marketing of the auction firm, the group of motivated buyers will have been secured before the day leading to a competitive auction. Depending on the type of luxury property auction, either a minimum bid auction, absolute auction, or reserve auction, the seller decides what they are comfortable with. Minimum bid auctions require buyers to meet a minimum number to attend the auction, for the seller’s peace of mind.
However, with reserve auctions sellers may accept or reject any offer, regardless of whether they received their ideal bid. Absolute auctions may seem risky for the seller, but generally, they attract the most motivated buyers and once in the space, the process can ignite a bidding war leading to a fair market price. When it begins, all individuals are present in person, virtually, or by proxy, and a fair-market price is inevitably met.
Luxury Property Auctions Require The Best
Luxury property auctions are the best way to buy and sell high-end real estate, but they most certainly require an elite team. By choosing to work with a superior collection of marketers and experts in the industry, sellers and buyers experience the allure of mansion auctions. If you are a seller looking to auction luxury homes or a buyer searching for your next investment, contact Platinum Luxury Auctions. Their expert professionals will guide you as a buyer through the process and or can discuss whether your property is suited to the process.