Moving to Where Marijuana Is Legal: How to Sell Your House at Auction

Although the terms of use, such as whether it is for medicinal reasons, and possession limits may vary, marijuana is now legal in many states. Currently, there are twenty legal medical marijuana states, along with the District of Columbia (Washington D.C.). In many other states and communities its use is openly tolerated.

Some people regard marijuana’s availability as enough reason to move to a region of the US where its use legal. If this is the case, then selling one’s home will be one of the primary tasks at hand.

Property sale options

The property and housing market is a beast of many ups and downs; its health varies wildly based on the location of the home and the condition of the property. If you are a homeowner considering a major move at least partly for easy and legal access to medical marijuana, but you don’t want to bother with the long and drawn-out process of a house sale, then you may want to review all your options as a seller.

Homeowner options for selling a house typically include:

  • Hiring a real estate agent to handle the bulk of the process (ideal if your home has most of the corrective and cosmetic work completed already)
  • Placing the property for sale by the owner (a good option if you are familiar with marketing venues and real estate laws, and you want to keep the full commission on the sale)
  • Selling directly to a home renovator, home restoration company, or house “flipper” (an option if your property has corrective and cosmetic issues that you don’t want to have to fix; but this typically means recouping far less than what the property is worth)
  • Selling your home directly at auction (a good choice for those seeking a quick home sale that appeals to qualified bargain hunters)

Selling your home at auction

For people planning a big move to another region, this is often the best option. A real estate auction is an intense, accelerated marketing process that involves the public sale of any property, including those that are non-distressed, through open cry, competitive bidding.

Benefits to the seller include:

  • Buyers come prepared to buy
  • Quick disposal reduces long-term carrying costs, including taxes and maintenance
  • Assurance that property will be sold at or near true market value
  • Exposes the property to a large number of pre-qualified prospects
  • Accelerates the sales
  • Creates competition among buyers — the auction price may exceed the price of a negotiated sale
  • Requires potential buyers to pre-qualify for financing
  • The seller knows exactly when the property will sell
  • Eliminates numerous and unscheduled showings
  • Takes the seller out of the negotiation process
  • Ensures an aggressive marketing program that increases interest and visibility

If you decide you want to sell your property at auction, then you will need to choose an auctioneer. There are quite a few around — some who specialize in auctions and others who are regular estate agents or brokers with an auctioneering division.

Their costs, reputation, and style may vary, but you should budget to pay around 2.5% of the purchase costs. You might also be required to pay for the advertising and legal costs. You will need to instruct a solicitor to prepare contracts and the legal pack, and set out any special conditions that might be pertinent to the sale.

In addition, it’s worth checking out the auctioneers’ advertising catalogs to see the standard of their publications. Selling a home at auction requires some up-front work, but overall it can save time, effort, and money for the homeowner.

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