At auction, indebted owners often have less control over the sales process, and are subject to the decisions of the auction organizer. Decisions on advertising, deadlines and conditions of sale are taken by the organizer, which may not be favorable to the owners. They can feel dispossessed and powerless when it comes to making important decisions about their property.
In conclusion, property auctions may seem an attractive option for homeowners in debt and financial difficulty, but there are significant drawbacks to consider. Sale prices below real market value, limited exposure, additional stress and “as is” sale conditions can all make this option unattractive. That’s why it’s essential to look for more favorable alternatives, such as direct sales to cash payments.