Resurgent interest in real estate leads to quickening pace of auctions
MARIETTA, Ga. (July 18, 2011) -- When construction ground to a halt during the recession and credit crisis, demand for subdivision home sites evaporated. And with people worried about their jobs, demand dropped sharply for discretionary properties such as waterfront and recreational land. But now, those are among the properties attracting more interest in real estate auctions, and Atlanta-area auctioneer John Dixon believes that may be a good sign for the economy.
"Lenders held onto foreclosed real estate for a while, until they were confident the bidders would be there, but now they're bringing more supply to the market, which is good for everybody," said Dixon. John Dixon & Associates sold approximately $30 million in the past month, he said.
During the first six months of 2011, John Dixon Associates sold 145 homes, 2,300 home sites, 104 commercial/industrial properties and 70 land/acreage properties -- most of it for banks and the FDIC. "All of these properties are back in the productive economy, where they can provide opportunities for people and once again generate tax revenues," he said.
"Homes that are sitting empty are just hurting property values of those around them. Empty stores and restaurants are a dead weight around the economy's neck. And they all sap the attention and resources of the lenders. So an increase in the number of auctions -- and the people bidding at them -- can only be positive for the economy as a whole," said Dixon.
Some banks now have not only properties on which they have foreclosed, but also properties they have acquired through the purchase of failing banks from the FDIC. "This can result in even larger backlog of unsold real estate owned by the lender, so our ability to move 100 properties or more in a single auction can be very attractive to them," said Dixon.John Dixon & Associates, based in Marietta, Ga., is a leading auctioneer of bank-owned properties throughout the United States. Individuals seeking additional information may contact the firm at 770-425-1141 or visit www.johndixon.com.