Introducing SmartSale: Auction.com’s Innovative Solution for Distressed Homeowners
President Ali Haralson of Auction.com recently announced, “Every distressed customer deserved a chance to protect their equity, and Auction.com is going beyond auctions to make that possible.”
Doug Whittemore, Auction.com’s head of strategic growth, also expressed excitement about their new offering, stating, “SmartSale is a transformative solution for families facing the threat of foreclosure. In addition to all the benefits of a traditional home sale, our customers gain access to multiple sales pathways tailored to their unique situation, support from a local real estate agent and our dedicated Concierge team, a curated nationwide buyer network, and much more.”
Auction.com pointed to recent survey data from Clever Real Estate, indicating that approximately 20% of sellers prefer nontraditional sales methods, such as for sale by owner (FSBO) or all-cash transactions through an iBuyer, over using a real estate agent.
SmartSale is specifically designed as an alternative for sellers who are “navigating financial challenges or simply seeking greater control,” Auction.com explained. Sellers can list their homes through a competitive bidding process with real-time updates, or they can accept direct offers from buyers, allowing for negotiation of contingency clauses, financing terms, proof of funds, leaseback options, and other details.
Auction.com also reported a decrease in demand for distressed homes in the third quarter of 2024. The supply of properties available at auction reached its lowest level since Q3 2021, during the post-pandemic federal foreclosure moratorium. Buyers surveyed by the company cited higher acquisition costs, increased rehabilitation expenses, and unfavorable mortgage rates as the main factors deterring them from entering the market.