Real Estate Auction Myths Debunked

Myth #1: All real estate auctions involve foreclosures or distressed properties.
This is a common misconception. In reality, most of our auctioned properties come from ordinary sellers looking to move, downsize, or settle estates. These sellers choose auctions for their efficiency and competitive nature, not due to financial distress.

Myth #2: You can’t preview a property before the auction.
On the contrary, we provide ample opportunities to preview auction properties. Each property has scheduled open houses or home tours, and we also offer private showings for serious buyers. We believe in full transparency, allowing you to inspect the property thoroughly before placing a bid. We provide an abundance of disclosures, preliminary title work, and pre-inspection reports with each listing, so you can bid with confidence!

Myth #3: You can't get a mortgage for auction properties.
Many buyers assume that mortgages aren't available for auction properties, but that's not the case. Over 70% of our buyers secure financing for their purchases. It's important to arrange your financing in advance. We are also able to provide recommendations of trusted lenders.

Myth #4: You must pay the full price in cash on auction day.
After the auction, the winning bidder proceeds similarly to that of a traditional buyer. The bidder has 24 hours to deliver the non-refundable earnest money deposit, then the balance is due at closing, usually within 30 days.

Myth #5: Auctions are a last resort for selling property.
Auctions are actually a powerful method to determine true market value. Auctions create a competitive environment where the final price reflects genuine market interest. This method is used for everything from fine art to real estate, ensuring you get the best possible price.

Myth #6: Auctions are more expensive than hiring a realtor.
With auction, Sellers pay no commission fees. The only cost is for marketing and promotion, typically around $2,500, which goes entirely towards advertising your property. The buyer premium compensates your listing agent and auction fees. You get representation from a REALTOR and the Auction Method, paid for by the Buyer.

Myth #7: You must sell your property no matter what it brings.
You have control over the sale. You can choose to sell to the highest bidder or set a reserve price to ensure you meet a minimum amount. We offer both options and will work with you to decide the best approach based on your needs.

Myth #8: Auctions don’t cooperate with realtors.
We regularly collaborate with REALTORs, offering commissions for pre-registered buyers. We are happy to work with real estate professionals and often provide concessions for buyers who seek to have the representation of a Buyers Agent.

Myth #9: Buying 'as is' is too risky.
In North Carolina, all real estate sales are "as is," whether purchased through auction or traditional sale. We provide ample disclosure and opportunities for inspection to ensure you are fully comfortable and informed before bidding.

Myth #10: Only investors participate in real estate auctions.
Our auctions attract a diverse range of bidders, including approximately 75% end-users looking for homes to occupy. While some properties appeal more to investors, we market to both investors and homeowners, ensuring a broad pool of potential buyers.

Myth #11: Auctions are only advertised in newspapers.
Our marketing strategy is extensive and modern. We use digital and social media platforms, alongside traditional methods like signage and print media, to ensure maximum exposure. Our advanced marketing team uses a variety of premium channels, including social media, Google marketing, MLS syndication to Zillow, Realtor.com and more, to ensure maximum exposure and attract potential buyers, on a global scale.

Myth #12: You need to stage or fix up your property before selling.
You can sell your property 'as is' without making repairs or upgrades. While we may offer suggestions to enhance appeal, you’re not required to stage or renovate. Our auction process is designed to be straightforward and effective, regardless of the property’s condition.

Myth #13: If I can’t attend the auction in person, I can’t participate.
We offer real-time online bidding for all our auctions from both desktop or mobile device. You can bid live or set a maximum bid online, allowing you to participate from anywhere. This technology ensures broad exposure and convenience for all bidders. Our mobile app makes bidding easier than ever.

Feel free to contact us for more information or if you have any questions about our auction process.