What You Should Know When Selling Your Home At Auction

Just as there are differences a buyer must understand between purchasing a property through auction, the same holds true for someone looking to sell their property at auction. Perhaps the most significant differences pertain to the buyer's premium and advertising costs.

In a conventional purchase contract typically the seller is paying the brokerage fees or commissions whereas in an auction, the commissions are paid by the buyer's premium.

In a typical listing agreement, the seller's agent usually assumes the responsibility for advertising however, in an auction format, many times there is an advertising fee the seller pays for at the time the auction agreement is signed.

As with conventional contracts, auction terms and fees can vary so it is important you understand all your anticipated costs before signing any agreement.

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