How has the real estate auction market changed from 2015 to nowadays?
After the 2015 reform which practically changed the legislative and operational landscape of real estate auctions in Italy, there has been a much greater inflow of participations from final buyers interested in investing in a property at auction, including many private individuals who do not have specific skills in the real estate market and do lack specific skills to manage a real estate auction until it is awarded.
All this has significantly increased the closing prices, i.e. the awarding prices in general, of the auctions.
For this reason some real estate investors are abandoning the judicial auction sector and have undertaken more complex alternative methodologies, first of all in chronological order we can mention the Full and Final Settlement with creditors.
This methodology is generally used to intervene in the purchase during the executive procedure but before the auction is scheduled publicly through a private agreement.
What technical and legal skills do you need to work with clients and auctions?
Real estate expertise
First of all, real estate professionalism is necessary, above all to be able to evaluate the property which must be included in the actual local market parameters. This is a skill that is very close to that of the classic real estate agent.
Technical competence
The first must be accompanied by one other of an exquisitely more technical nature, closer to the culture of the surveyor or architect, because we must be able to carefully read the expertise and the discrepancies it presents. It is of fundamental importance in establishing the subsequent attractiveness of the asset on the market.
Legal expertise
To decide whether you can participate in an auction or not, you must also check certain legal issues that can arise and result later insidious and restrictive of the use of the asset.
Financial expertise
An equally important aspect is knowing how to manage correctly finances in order to be able to pay the price and obtain the consequent title to the property. For this reason, in addition to our experience, we also use mortgage consultants for our customers.
Are psychological skills also needed?
Certainly, in order to be able to support a person who intends to evaluate the purchase at auction, one must also have “psychological coaching” skills. For example, the person who participates in the auction, especially if he is not a professional in the sector or a real estate investor, risks get lost during the race in the euphoria of the relaunch and thwart the initial intention, that is, to make a good purchase.
