Luxury estate auction slated for Aug. 27 - The Park Record

Full story: Park Record

Real estate experts are still talking about the effect of the Accelerated Marketing Partners' first Park City auction eight months ago at Silver Strike Lodge in Empire Pass.
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1 - 10 of 10 Comments Last updated Aug 13, 2010
Tired of fake auctions

Kamas, UT

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#1
Aug 11, 2010
 
The "Previous Asking Price" listed on the website and marketing materials are in most cases prices from 2 or more years ago, not the most recently listed price. For example one of the properties says the "previous price" was $5,595,000, with a "reserve" price for the "auction" of $2,550,000. In fact, this property was most recently listed at $2,650,000 on the MLS. Nobody wanted it at $2.650, why would they want it at $2.550 PLUS a 2% "buyer's premium". That's the same price they could have bought it for all summer, and had some protections for inspections, contingencies, etc., allowing a buyer to get their deposit back after their due diligence.

The "Special Conditions" are ridiculous. Inspections must be done in advance, NO contingencies on these offers, i.e. NO way to cancel and get back earnest money deposit after bid is accepted. Who would pay for an inspection on a property when they have no idea if their bid would even "win." Also, while the minimum bids are supposedly prices the sellers would agree to accept, the conditions give them plenty of latitude to reject offers at or above the minimum bid, as offers must be "acceptable"...how is that defined?

Buyers have caught on to these "phony" auctions; but meanwhile all the national advertising is creating the impression that there is a fire sale going on in this market, when in fact most of the prices are really just a bit lower than they have been all summer. Using 2-3 year old "previous prices" is extremely misleading.

The original auction at Silver Strike was successful because it was a real, absolute auction with no minimum reserve price, which is why it was successful. These newer fake auctions are a lame attempt to get people bidding on properties that are prices nearly where they have been for quite awhile. Nothing compelling about that.

This auction will be a complete bust. I wish AMP would pack their wagons and leave town.
Observer

Brooklyn, NY

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#2
Aug 11, 2010
 
If Winstead is excited about auction pricing, his focus is on short-term gain and not long-term health of the the Park City real estate market. I would never have him represent any property I had for sale.

This auction places Park City in the limelight for all the wrong reasons. Duh
Kevin

United States

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#3
Aug 12, 2010
 
Tired of fake auctions....

I couldn't have said it better. AMP is a joke and the agents that are getting involved are not representing their clients best interests. I am insulted as a realtor if you believe that I am going to fall for your smoke and mirrors approach to real estate sales. I have investigated everyone of your previous auctions and with the exception of Silver Strike and a very few other limited properties, I believe you think the realtors in this town are idiots. I especially like it when you put a property on the auction block and there a comps in the same property that have sold for less than your reserve. Why are you wasting our time? This Foe-auction just like most of the others is going to be a bust. The agents that are involved are only involved because of greed. Be honest with your client tell them what the property is worth. If they can not sell it at that price it is not the fault of everyone else, itís theirs.

For the sake of your sellerís I guess I hope you find an idiot.
Tired of fake auctions

Kamas, UT

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#4
Aug 12, 2010
 
Kevin wrote:
Tired of fake auctions....
I couldn't have said it better. AMP is a joke and the agents that are getting involved are not representing their clients best interests. I am insulted as a realtor if you believe that I am going to fall for your smoke and mirrors approach to real estate sales. I have investigated everyone of your previous auctions and with the exception of Silver Strike and a very few other limited properties, I believe you think the realtors in this town are idiots. I especially like it when you put a property on the auction block and there a comps in the same property that have sold for less than your reserve. Why are you wasting our time? This Foe-auction just like most of the others is going to be a bust. The agents that are involved are only involved because of greed. Be honest with your client tell them what the property is worth. If they can not sell it at that price it is not the fault of everyone else, itís theirs.
For the sake of your sellerís I guess I hope you find an idiot.
I haven't verified it but have been told also that the upcoming auction cost the sellers $30,000 to participate. What a waste of money if that's true. While I believe that agents should make their sellers aware of the auctions, I personally would discourage a seller from participating unless they were willing to put a reserve price that is very compelling. Paying $30,000 to enter a property in an phony auction, at a price not much less than it's been languishing at, is ridiculous. Any quality Realtor would advise their buyers of recent comps and reality, and encourage them not to bid on these properties. My fear is that unscrupulous agents will poorly represent clients by telling them these properties are "half price."

I don't have anything against AMP really, as they are doing what they can in this climate, but I surprised at the foolishness of unrealistic sellers who think that perhaps THIS will finally be the answer.

We will see!
Caveat Emptor

Salt Lake City, UT

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#5
Aug 12, 2010
 
Representing the "minority" in Summit County, someone who is not a real estate professional, it is somewhat humorous to read the prior comments.

I respectfully suggest that you put down your iPhone, and dust off your PC keyboards and log onto the Summit County website to take a close look at the defaults that have been processed in the past twenty months, many of which have led all the way to foreclosure action by the lending banks, or FDIC, where the bank was seized (remember Barnes Bank.....).

Summit County is headed for more price trauma, as a direct result of the speculative behavior of many buyers in recent years. Your Assessor has done a fine job of analyzing the cratering of several new developments, for example Promontory Ranch, and reflected the new reality in 2010 valuations. These recent tax notices have been a wake up call to absentee owners nationwide, triggering the aha moment that results in a frantic call to their friendly agent to "sell".

The agents who will survive the next five years of trauma are those who have the intellectual capacity and honesty to acknowledge the new reality, and guide their clients with carefully analyzed competitive market data. In many cases the honest advice will be: strategic default. It might not generate any commissions but may be in the best interests of the client. How many agents out there are prepared to put their client's interests ahead of their own?

Are you???????
Cravat Empty

Norwich, NY

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#6
Aug 12, 2010
 
Caveat Emptor wrote:
Representing the "minority" in Summit County, someone who is not a real estate professional, it is somewhat humorous to read the prior comments.
I respectfully suggest that you put down your iPhone, and dust off your PC keyboards and log onto the Summit County website to take a close look at the defaults that have been processed in the past twenty months, many of which have led all the way to foreclosure action by the lending banks, or FDIC, where the bank was seized (remember Barnes Bank.....).
Summit County is headed for more price trauma, as a direct result of the speculative behavior of many buyers in recent years. Your Assessor has done a fine job of analyzing the cratering of several new developments, for example Promontory Ranch, and reflected the new reality in 2010 valuations. These recent tax notices have been a wake up call to absentee owners nationwide, triggering the aha moment that results in a frantic call to their friendly agent to "sell".
The agents who will survive the next five years of trauma are those who have the intellectual capacity and honesty to acknowledge the new reality, and guide their clients with carefully analyzed competitive market data. In many cases the honest advice will be: strategic default. It might not generate any commissions but may be in the best interests of the client. How many agents out there are prepared to put their client's interests ahead of their own?
Are you???????
empty above the neck, but I look good to my clients. Must loosen my cravat, I feel dizzy suddenly.
Thomas Jefferson

United States

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#7
Aug 12, 2010
 
Kevin wrote:
Tired of fake auctions....
I couldn't have said it better. AMP is a joke and the agents that are getting involved are not representing their clients best interests. I am insulted as a realtor if you believe that I am going to fall for your smoke and mirrors approach to real estate sales. I have investigated everyone of your previous auctions and with the exception of Silver Strike and a very few other limited properties, I believe you think the realtors in this town are idiots. I especially like it when you put a property on the auction block and there a comps in the same property that have sold for less than your reserve. Why are you wasting our time? This Foe-auction just like most of the others is going to be a bust. The agents that are involved are only involved because of greed. Be honest with your client tell them what the property is worth. If they can not sell it at that price it is not the fault of everyone else, itís theirs.
For the sake of your sellerís I guess I hope you find an idiot.
Realtor's ain't itiots?
Park Shady

Park City, UT

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#8
Aug 13, 2010
 
Sorry Dirt- pimps, your rep in this town is gone. You all are driven by greed and now that Park City is blown out and overbuilt, the real-tors have to work a little to move the over priced inventory some way or another. Maybe AMP is a joke and what they are doing stinks a bit, but to have the "real-tors" in this town calling them unethical is just priceless.
Tired of fake auctions

Kamas, UT

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#9
Aug 13, 2010
 
Caveat Emptor wrote:
The agents who will survive the next five years of trauma are those who have the intellectual capacity and honesty to acknowledge the new reality, and guide their clients with carefully analyzed competitive market data. In many cases the honest advice will be: strategic default. It might not generate any commissions but may be in the best interests of the client. How many agents out there are prepared to put their client's interests ahead of their own?
Are you???????
Ummm, isn't that sort of what we were both saying? Help clients (buyers and sellers) ascertain real, market-driven values? These phony auctions don't do that. Which is the reason myself and Kevin made the comments that we did.
Mumbo jumbo

Park City, UT

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#10
Aug 13, 2010
 
Caveat Emptor wrote:
Representing the "minority" in Summit County, someone who is not a real estate professional, it is somewhat humorous to read the prior comments.
I respectfully suggest that you put down your iPhone, and dust off your PC keyboards and log onto the Summit County website to take a close look at the defaults that have been processed in the past twenty months, many of which have led all the way to foreclosure action by the lending banks, or FDIC, where the bank was seized (remember Barnes Bank.....).
Summit County is headed for more price trauma, as a direct result of the speculative behavior of many buyers in recent years. Your Assessor has done a fine job of analyzing the cratering of several new developments, for example Promontory Ranch, and reflected the new reality in 2010 valuations. These recent tax notices have been a wake up call to absentee owners nationwide, triggering the aha moment that results in a frantic call to their friendly agent to "sell".
The agents who will survive the next five years of trauma are those who have the intellectual capacity and honesty to acknowledge the new reality, and guide their clients with carefully analyzed competitive market data. In many cases the honest advice will be: strategic default. It might not generate any commissions but may be in the best interests of the client. How many agents out there are prepared to put their client's interests ahead of their own?
Are you???????
The best post I've seen in a while concerning the PC area real estate and its train wreck of a market. I bike past empty homes every day that are not even on the market. I'm a renter and loving it. I'm figuring this next leg down is going finally begin the process of total collapse that will flush out shadow inventory and reset prices to far below todays levels. I owned and sold in 2006. I saw this coming and I can tell you we are just getting started.

For those of you that bought high, don't walk til consult an attorney. Oh, and feel free to give your old realtor a call and thank them for selling you a lemon.

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