Myrtle Beach Real Estate Auction Announcement
Property owners try for quick sale at auctions
JENNY BURNS - REAL ESTATE
Posted on Wed, Sep. 12, 2007 - The Sun News
The number of real estate auctions is growing on the Grand Strand, and the beach is about to see what may be its largest - at least 48 residential and commercial properties from 25 sellers sold at one auction.
A new company, Coastal Auction Co., is holding the event at 10 a.m. Sept. 29 at the Marriott Grande Dunes.
The list continues to grow, but it already includes oceanfront lots and condos, Intracoastal Waterway lots and homes, an oceanfront estate in the Dunes Club, a lot in Grande Dunes, a home in DeBordieu, apartments and a motel in Atlantic Beach and commercial property ready for multifamily development.
People usually think of auctions only for distressed properties, but it is becoming a more popular way for an owner to quickly sell a property by a certain date, said Joe Exum, owner of Exum Auctions and Real Estate in Myrtle Beach.
Exum has formed Coastal Auction with David O'Connell, owner of the Myrtle Beach Home Store.
Exum has seen renewed interest in selling real estate at auction since the market slowed.
He's seen more business in the last year than in the last five years, he said.
Auctions along the Grand Strand have had mixed results.
During the Sept. 29 auction, each property owner will decide if their property will sell with a minimum offer or as an absolute auction - meaning there's no minimum price. Two properties - two-bedroom condos near Coastal Carolina University - will be sold in an absolute auction.
"Absolute brings the most excitement," said Exum, the auctioneer.
Exum said Coastal Auction has spent more than $100,000 in marketing in newspapers in the East and Northeast, including the Wall Street Journal and the New York Times.
O'Connell is selling some of his own properties, including two oceanfront lots in Atlantic Beach.
O'Connell said he's going to build on anything he doesn't sell, but he wants to consolidate his property holdings for development in one place and sell those that are single properties in different areas.
"There will definitely be a boatload of really good deals," O'Connell said.
A slumping market and falling prices, especially for oceanfront properties, have kept potential buyers waiting to see what will happen. By deciding to sell auction-style, O'Connell hopes the event will create a sense of urgency that buyers can snatch up good deals.
He and Exum say this is likely the largest multiproperty auction that the Grand Strand has seen in a long time.
Exum says an auction can sell a property at that day's fair market value instantly. And, Exum said, he works with sellers to make sure they are setting a realistic minimum price. He has turned down some sellers who wanted to join the auction because of the price.
"It doesn't make sense for us to bring in a property with a reserve that's not realistic," he said.
Since the seller writes the contract and sets the closing date, Exum said they have to offer some discount to the buyer.
Auctioneer Chris Pracht in Anderson, past president of the S.C. Auctioneers Association, agreed.
"If the seller is not realistic, then you're going to waste a lot of promotional money and get nothing done," Pracht said.
So far, real estate auctions on the Strand have had mixed results.
Exum has had success selling two properties at auction. The Seaside Plaza hotel was sold at auction in May for $792,000. The property had been listed on the Multiple Listing Service prior to that for $850,000, he said.
Exum also sold two duplexes on Chester Street for $671,000 last month, a price that satisfied the seller. But two single-family homes that went to auction didn't sell immediately. One is still on the market, and the other is in contract negotiations.
An auction by Chris Pracht Auctioneers Realty and Auction LLC in Anderson also didn't sell a group of oceanfront and oceanview lots in North Myrtle Beach on July 25. Pracht said the offer reached $4 million for the seven lots, but that was under the goal of the sellers. All the lots are now up for sale for $6.2 million, and Pracht said they're negotiating contracts.
"We had good attendance, but the market was under the expectations of the sellers," he said.
"It's been a fairly tough market down there." But he was successful in selling 14 parcels of land on the Murrells Inlet waterfront for $9.5 million in April.
Pracht warns that sellers shouldn't use the auction method as a last resort. The best reason to do it is to sell in a timely manner, he said.
"The flip side is there's no real guarantee of what the market is going to be at that time," he said.
If you go
What Coastal Auction Co. auction
When 10 a.m. Sept. 29
Where Marriott Grande Dunes
What At least 48 properties, residential and commercial, will be for sale
For more information http://www.coastalauctioncompany.com/
JENNY BURNS - REAL ESTATE
Posted on Wed, Sep. 12, 2007 - The Sun News
The number of real estate auctions is growing on the Grand Strand, and the beach is about to see what may be its largest - at least 48 residential and commercial properties from 25 sellers sold at one auction.
A new company, Coastal Auction Co., is holding the event at 10 a.m. Sept. 29 at the Marriott Grande Dunes.
The list continues to grow, but it already includes oceanfront lots and condos, Intracoastal Waterway lots and homes, an oceanfront estate in the Dunes Club, a lot in Grande Dunes, a home in DeBordieu, apartments and a motel in Atlantic Beach and commercial property ready for multifamily development.
People usually think of auctions only for distressed properties, but it is becoming a more popular way for an owner to quickly sell a property by a certain date, said Joe Exum, owner of Exum Auctions and Real Estate in Myrtle Beach.
Exum has formed Coastal Auction with David O'Connell, owner of the Myrtle Beach Home Store.
Exum has seen renewed interest in selling real estate at auction since the market slowed.
He's seen more business in the last year than in the last five years, he said.
Auctions along the Grand Strand have had mixed results.
During the Sept. 29 auction, each property owner will decide if their property will sell with a minimum offer or as an absolute auction - meaning there's no minimum price. Two properties - two-bedroom condos near Coastal Carolina University - will be sold in an absolute auction.
"Absolute brings the most excitement," said Exum, the auctioneer.
Exum said Coastal Auction has spent more than $100,000 in marketing in newspapers in the East and Northeast, including the Wall Street Journal and the New York Times.
O'Connell is selling some of his own properties, including two oceanfront lots in Atlantic Beach.
O'Connell said he's going to build on anything he doesn't sell, but he wants to consolidate his property holdings for development in one place and sell those that are single properties in different areas.
"There will definitely be a boatload of really good deals," O'Connell said.
A slumping market and falling prices, especially for oceanfront properties, have kept potential buyers waiting to see what will happen. By deciding to sell auction-style, O'Connell hopes the event will create a sense of urgency that buyers can snatch up good deals.
He and Exum say this is likely the largest multiproperty auction that the Grand Strand has seen in a long time.
Exum says an auction can sell a property at that day's fair market value instantly. And, Exum said, he works with sellers to make sure they are setting a realistic minimum price. He has turned down some sellers who wanted to join the auction because of the price.
"It doesn't make sense for us to bring in a property with a reserve that's not realistic," he said.
Since the seller writes the contract and sets the closing date, Exum said they have to offer some discount to the buyer.
Auctioneer Chris Pracht in Anderson, past president of the S.C. Auctioneers Association, agreed.
"If the seller is not realistic, then you're going to waste a lot of promotional money and get nothing done," Pracht said.
So far, real estate auctions on the Strand have had mixed results.
Exum has had success selling two properties at auction. The Seaside Plaza hotel was sold at auction in May for $792,000. The property had been listed on the Multiple Listing Service prior to that for $850,000, he said.
Exum also sold two duplexes on Chester Street for $671,000 last month, a price that satisfied the seller. But two single-family homes that went to auction didn't sell immediately. One is still on the market, and the other is in contract negotiations.
An auction by Chris Pracht Auctioneers Realty and Auction LLC in Anderson also didn't sell a group of oceanfront and oceanview lots in North Myrtle Beach on July 25. Pracht said the offer reached $4 million for the seven lots, but that was under the goal of the sellers. All the lots are now up for sale for $6.2 million, and Pracht said they're negotiating contracts.
"We had good attendance, but the market was under the expectations of the sellers," he said.
"It's been a fairly tough market down there." But he was successful in selling 14 parcels of land on the Murrells Inlet waterfront for $9.5 million in April.
Pracht warns that sellers shouldn't use the auction method as a last resort. The best reason to do it is to sell in a timely manner, he said.
"The flip side is there's no real guarantee of what the market is going to be at that time," he said.
If you go
What Coastal Auction Co. auction
When 10 a.m. Sept. 29
Where Marriott Grande Dunes
What At least 48 properties, residential and commercial, will be for sale
For more information http://www.coastalauctioncompany.com/
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