Auction.com Trustee Sales
I attended an auction.com trustee sale today in Riverside. I went up prepared for 6 properities but didn't get any as they were outisde my prices and I haven't been looking for another property long enough to start chasing. Give me another week and I'll be there.
In any case it's a strange procedure. Where one person conducts the traditional sale at the steps, they have about 20-25 people working and with 4 handling each auction. They have one guy who announces the property, an auctioneer and two criers. They have at least 12 people at computer stations who do the post-sale paper work. They take bids in traditional auction style and the criers help pimp the procedure.
The problem is that it takes just waaaaay tooo looong. I am convinced that at the end of the day, properties would sell for the same price using the simple outcry method we're used to.
Auction.com probably does manage to average higher prices because they conduct the auction weekly thereby increasing the number of properties on one day (attracting more bidders) and also drop their bids very early---a few days in advance and they drop them low. This allows a lot of "outsiders" to attend and they drive prices up.
It's just a little too user friendly. We need a bit of chaos and inefficiency which --- helps to create opportunity.
Post a Followup:
Copyright © 1997-date("Y"), InnoVest Resource Management
InnoVest Resource Management, 4569-A Mission Gorge Place, San Diego CA 92120-4112
(619) 283-5444, Fax (619) 283-5455