Everyone is talking about real estate auctions. With the market in its current state, they’re hard not to notice – they’re everywhere. But why bother using a real estate auction when you can get a better price and home for a much cheaper cost with the traditional real estate process?

Is a Real Estate Auction Worth It?

Think of it this way: when you go into a supermarket, and want to buy a bag of chips, you’re given a set price – or list price – for the cost of the food. While there may be more than one person interested in buying food at any time, the buyer knows what to expect and the process for obtaining the food.

However, if you go into a real estate auction, you’ll see a number of properties, and an exponential amount of people reviewing these properties for purchase. Perhaps you’ll see a number of condos on the auction block, or perhaps you’ll see a number of privately-owned homes. People are drawn to these homes looking for great deals, but they don’t often walk away with one.

When you’re buying a home from an agent and owner, you can be guaranteed to know what kind of issues the house possesses. If it needs a new water heater, an inspection will tell you. If the windows are cracked, you’ll know. Fortunately, these repairs can be included in the price of the home.

However, if you’re buying from an auction, you can’t be guaranteed the home’s condition. There are a number of factors that the auction house may require, but in the end it won’t go through the lengthy process of choosing the right home that an agent-buyer relationship will focus on.

The System isn’t Broken

Simply put, the Real Estate system isn’t broken – so there’s no need to resort to auctions to buy or sell a home. For example, when real estate agents invite people into an absolute auction for condos, there’s a good possibility that the auction will be shut down before the buyer even has a chance to bid on the offerings – which reflects on the agent poorly, and leaves the buyer empty-handed.

Using a Real Estate Agent to find the Best Home

Working with a real estate agent guarantees that you know what you’re getting into – you won’t be closed out of buying your home by an auction house, and you’ll know all the issues before setting one cent down. You’ll have an expert in your corner to help you find the very best property for your needs – no matter what.

The traditional real estate method works well for everyone: the buyer gets a great home, at a great value, and the seller sells their home quickly and for a reasonable price. The traditional real estate process is a win-win for everyone involved.