Online auctions are probably my favorite way to sell land. There are so many different ways you can run the auction and so many different promotions you can run to create an attractive auction for your audience. But in order for an online auction to work, there are a few prerequisites to making sure everything runs smoothly.
First of all, you need to have a buyer’s list. If you don’t have a list of people to email and tell about the auction then who is going to be buying all those properties you have up for auction? Secondly, you should have options for your customers to work with. Typically in my auctions, I will have property ranging from less than an acre all the way up to 160 acres. I will also have properties at all different price ranges, and a group of properties that buyers can finance as well.
Financing is an amazing tool and it allows you to open your auction up to a lot more customers who may not be able to pay cash up front for a piece of real estate. Without going into too much detail, seller financing is the way to go and allows you to reclaim a property if a buyer stops making payments.
In essence, you’re going to be emailing your buyers list about this auction sending them to your website, which should have a complete list of properties up for auction. The best way to go about the actual auction is to go through a website like LiveAuctioneers.com or ProxiBid.com. You can also run reverse auctions, but that’s a topic for another day!
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