Contact Us About Us

California Premier Auctions, Inc.

The Real Estate Auction Company

For quick results sell your real estate at auction!

Home Current Auctions Past Auctions Sellers Realtors From the Press
"...What I needed was URGENCY---A reason for buyers to buy my house in as-is condition-NOW. And that is why I went with the auction format... BIG SUCCESS….My problem home was SOLD!!!"
-Mark F.

  » FAQs

FAQ: Doesn't selling using an auction mean my property will be sold at a discount?
Answer: Not at all. Using an auction to sell is merely a method of marketing that brings as many serious, qualified buyers together as possibe to competitively bid for the right to own your property. Very rarely does our company generate a lower net price than a traditional listing would bring after factoring in commission, holding costs and contingency costs. Many times we net our clients a lot more than the traditional selling method of listing and waiting for a buyer.

Because we sell in just one month, price deterioration that occurs in a soft market and from a stale listing is minimized. This allows more equity to be realized and converted to cash in your pocket at closing.
Top of Page
 
FAQ: How many bidders can I expect and what qualifies them to be able to bid?
Answer: Your property will dictate the number of bidders that attend the auction event. Our marketing program will produce buyers if you have a property desirable to the market. The marketing program will bring only qualified buyers who have an excellent chance of closing. All bidders are required to bring a minimum of $5,000 in the form of a cashier's check that is non-refundable if the winning bidder doesn't follow through and close. For higher valued property we have charged as much as $50,000 for the right to bid.
Top of Page
 
FAQ: How much experience do you have selling by auction?
Answer: We have been using the auction method to sell real estate for over 8 years. The owners of the company have been involved with selling real estate for well over 30 years. They became frustrated selling the "old-fashioned" way and now sell their own properties exclusively using the auction method. Also, the National Association of Realtors predicts that a third of all properties will be sold using the auction method.
Top of Page
 
FAQ: What are your credentials and how can we research your track record?
Answer: We encourage you visit Better Business Bureau website at BBB.com. Our website has several testimonials from satisfied clients. We were voted Best Auction website and Marketing. Our Chief Auctioneer is the past president of the California State Auctioneers Association. He has also been accredited AARE and won first place in the 2009 bid calling championship for the State of California. We are also licensed with the Department of Real Estate and are bonded as auctioneers.
Top of Page
 
FAQ: What is your closing rate?
Answer: Our company closes over 90% of the sales we do. This percentage is nearly double the traditional method of selling through a realtor according to Realtor.org. The reason we close at such a high percentage is two-fold: a. All our properties are sold "as-is" and without contingencies b. Our buyers have a large non-refundable deposit that is forfeited if they don't close.
Top of Page
 
FAQ: Why shouldn't I just list my property with a Realtor or sell it myself?
Answer: In some cases this might be the best method to sell your property. The auction method of selling real estate however offers several benefits. Your property can be sold within 30 days on the day you want. Listed properties many times sit on the market for months without an offer.

       * It eliminates negotiation with the potential buyers.
       * There are only one or two open houses (previews), so you're not bothered with looky loos at all hours.
       * At an auction the properties are sold in "as is" condition with no contingencies. You aren't required to fix or upgrade anything prior to selling your property if you choose. No costly fumigations or wood replacement is necessary.
       * The title insurance is paid by the buyer. In traditional real estate transactions, title insurance is paid by the sellers.
       * The price you receive for your property is based on a competitive bidding process that isn't locked into a fixed listed price; there you have unrestricted upside potential.
       * The seller does not pay a commission. Instead a buyer's premium is included in the final price. Typically, with a listed property, a 6-7% commission is required to be paid by the seller.
Top of Page
 
FAQ: What are the costs to sell my property with your company?
Answer: The only costs you incur are for the marketing of your property. These costs vary from 1-3% depending on the value of your property. We have several programs available to either defer the marketing costs to closing or have a portion or all of the costs paid by us.

We marke our "fee" by charging the winning bidder a buyer's premium, therefore you are not responsible for paying a commission (unlike when you list with a realtor).
Top of Page
 
FAQ: What marketing strategies do you use?
Answer: We actually list your property in the Multiple Listing Service (MLS) which automatically goes to the high traffic website, Realtor.com. All realtors are informed through the MLS and by email and fax blasts. If they accompany the winning bidder, their client pays them a commission from the buyer's premium.

Your property is also posted to over 75 websites (a few include Ebay, Zillow and Craigs List). The internet is where more and more buyers are coming from, so we maximize this low-cost method to advertise your property.

Signage, print advertising in local and national newspapers as well as targeted direct mail pieces are also used to inform potential buyers about the auction event.
Top of Page
 
FAQ: What if my property sells too cheap?
Answer: Because of our proven marketing campaign, very rarely does a property sell less than the net price you would receive from listing through a realtor. Actually, we usually sell for a higher net price! Most of our clients prefer a reserve-style format which completely protects our clients from a price that's too low. You get the best of both worlds with our method of selling property... a sale in just one month and a price at or above what you need!
Top of Page
 
FAQ: How long does it take your company to sell my property?
Answer: We can sell most properties in just 30 days. For luxury homes we prefer 45 days to secure a buyer. The auction process is based on urgency, emotion and competition fueled by America's great free market system.

In a buyer's market, many properties are taking over 6 months to sell. When home values are deteriorating, time on market is very important (Example: if it takes 6 months to sell and values are decreasing 2% per month, this will cost the homeowner 12% of the value; in contrast, by selling in 30 days through our company there is only a 2% reduction in the net price received. Also, it is well known that the wealthy use auctions to sell their expensive artwork, classic automobiles and their valuable estates (ie Elvis Presley, Jackie Onassis, Michael Jackson, etc.). Why do you think they use auctions to sell?
Top of Page
 
FAQ: What are the types of auctions available?
Answer: In general there are three types of auctions we offer... Absolute, Minimum bid, and Reserve. To get the most interest for your property we recommend either an absolute or reserve auction. An absolute auction, in some cases, will draw more interest, as the potential buyers know the property will be sold on the day of the auction. A reserve auction can also attract a crowd of willing and able buyers but our clients have full control of the final price. If the price is not acceptable, the price is simply rejected. A minimum bid auction is the least attractive to buyers because there is a published price at which the auction must start. Minimum bid auctions are usually used for tax sales or foreclosures.

Top of Page
 
FAQ: What property seller is the best candidate for an auction?
Answer: The best candidates for an auction are folks who understand the time value of money and also want their real estate sold quickly. These people want to move on with their lives, without the burden of an unsold property. They also realize that competition can drive the price higher than a listed property.

Top of Page
 
FAQ: Why do I need to have a sign with the word AUCTION on it in my front yard? My neighbors will think I'm in financial trouble.
Answer: Our AUCTION signs generate interest immediately and are highly recommended as one of our many marketing strategies. You want prospective buyers to think you need to sell. This will create the interest necessary to get your property sold at the highest price possible. The AUCTION sign basically discourages other potential buyers from making offers on other listed homes in your neighborhood until your property sells... and many prospective buyers will even attend your auction to competitively bid for the right to own your home. Remember... holding a public auction through our company is merely an accelerated way to move buyers to action!
Top of Page
 
FAQ: How is an auction conducted?
Answer: There are usually just one or two open houses (previews) in the 3-4 week marketing period. This creates urgency. The prospective bidders receive a "bidders package" that explains all the details of the auction.   Included in the package are copies of the preliminary title report, termite inspection and signed Transfer Disclosure Statement by the seller. The bidders must bring a cashier's or certified check for usually a minimum of 5% of the estimated value of the property. This upfront money helps qualify the buyers. Escrow typically closes in 10 to 30 days after the auction. The actual auction event is usually conducted at the property using experienced auctioneers who are trained to get the buyers relaxed and emotionally charged up, so the best results and highest price for the seller is obtained. Licensed Brokers and legally binding contracts are used that conforms with California law for real estate transactions.

Top of Page
 
FAQ: Are there any other benefits to use your company?
Answer: Absolutely! In many "traditional" escrows the seller pays some or all the buyer's closing costs. Our clients do not pay for these costs which can amount to 3-6% of the purchase price. In addition, the title insurance, termite work and problems the home inspector uncovers is not paid by our clients, whereas typically these costs are absorbed by the sellers in a traditional escrow.
Top of Page
 
FAQ: How can I set up an auction for my property or get more information?
Answer: Call (661) 325-6500 or fill out the form on our contact page. All information will be completely confidential.

Top of Page