Types of Auctions
Auctions can be divided into many types.
In the property auctions industry, it varies depending on
different factors. The main types are enumerated here.
Absolute Property Auction
This type of property auction method, also called as auction
without reserve, is sold to the bidder regardless of price.
This type of auction usually is advantageous to the highest
qualified bidder. There won’t be any limiting conditions or
amount, nor does the auction involve any mediator or other
agent.
Auction Without Reserve
This type of property auction involves a minimum acceptable
price in which the seller or his agent reserves the right
to accept or decline all bids. The seller here reserves
the right to accept or decline any bid within a specified
time.
Bidder’s Choice
This again focuses on the highest bidder. In the first round
of auction, he wins the right to choose one, from a group
of similar properties. Before the second round of selection
the particular property chosen is deleted from the selection.
Another highest bidder chooses a property from the second
round from which the same will be deleted from the group.
The process goes on until all properties are sold.
Internet Auction
In internet auction the property is displayed on the internet.
The venue can be selected by the seller with a specific
open and close date and time. Here, a bidder will enter
their bid against other internet bidders or they may bid
up to their pre determined high bid amount.
Live Internet Auction
The method of live internet auction is a successful one
for both the buyers and sellers. Similar in characteristics
with the internet auction, the main benefit of the property
auction is that they allow for a qualified bidder who has
researched the property already, to participate in the live
event. In this type of property auctions, the bidders compete
with the bidders who are present at the auction site.
Multi-par Auction
In a multi-par auction method, the bidders may bid on a
single property sold either as an entire parcel or in multiple
parcels. It provides maximum price for the seller and the
method is not based on which group of bidders wins.
Multi-Property Auction
This is the auction process in which a collection of properties
are offered through a common promotional campaign. Either
one seller or multiple sellers own these properties to be
auctioned. This provides an advantage to the buyer in a
way that he gets a variety of properties at a single sale.
The seller on the other hand, benefits from the shared advertising
and the promotional campaign.
Multi Seller Auction
The properties owned through a common promotional campaign
are auctioned in a single event in this type of auction.
Here many sellers own the properties. This type of property
auction also is beneficial to n\both the sellers and the
buyers as the multi-property auction. |
