What is the best way to sell commerical property in todays market, auction vs listing

In Selling Property - Asked by pam p. - Nov 6, 2008
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Answer(s)

Anita C.
Broker/Agent
Laguna Beach, CA

Listing done as an auction...best exposure, top dollar and most rapid method to close of escrow. Call us if you wish our marketing plan!
Anita Carr
Commercial Marketing & Sales
949.285.5352

Nov 6, 2008
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Chris G.
Broker/Agent
Lynchburg, VA

If you ask some auctioneers, they will tell you that an auction is the best way. If you ask some brokers, they will tell you to list it. I have sold many properties by both methods, and the real answer is that it depends on the property. Not all properties are auction properties, and not all auctioneers will admit that. There are a lot of prospective buyers that will not purchase properties at an auction. For certain types of property it makes much more sense to list the property traditionally, as opposed to taking it to auction. I would be more than happy to give you an honest opinion. I have sold properties both ways with much success.

Nov 11, 2008
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Jasmine W.
Owner/Investor
Sunnyvale, CA

Chris, could you provide your contact info? I also have a property that needs to be sold. Thanks!

Nov 13, 2008
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Chris G.
Broker/Agent
Lynchburg, VA

Phone 434.485.8901

Nov 13, 2008
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Mark C.
Broker/Agent
New York, NY

IMO whoever can get the property out to as many potential buyers is probably the best route. Depends on product type, area, resources...etc. GL

Nov 19, 2008
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Lee A.
Owner/Investor
Bridgeport, CT

Pam, first, like many have indicated, it depends on the type of property and its current use.
Auctioneers have the "hammer" of auctions, and Realtors have the "hammer" of their listing service. What you need is a toolbox at your disposal to optimize your sale.
Real estate is a leveraged class. It does not make much sense to purchase real estate on the cash basis unless if one is literally stealing it. Even then he is going to turn around and refinance it.
The challenge all of us are facing, with in today's market, is lack of availability of credit to the buyers. When the credit is available, people are willing to pay fair market value, and even more.
A stabilized income property would do well with owner-financing or with FHA 92.5% CLTV loans.
A non-optimized property would do well with master lease agreement with option to purchase.
A non-performing property would do well with joint venture or cash.
But if the property must be sold with cash, then be willing to discount heavily to move it.
Best of success with your real estate sale.

Mar 1, 2009
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