• Articles

Real Estate Moves to Front of Auction Block

Auctions have been popular for years as a way to unload used motor vehicles, equipment and farm goods. But in recent years, real estate has surged to the top as the industry's fastest-growing sector.

From downtown Orlando condos to raw land and homes near the beaches, the "bid-calling" patter of auctioneers has been picking up speed in Central Florida and across the country. "We've never been busier," said Chris Fisher, a second-generation auctioneer in Volusia County near Daytona Beach.

According to the National Auctioneers Association, residential real-estate auctions surged 47 percent from 2003 to 2007 -- more than any other category -- and generated nearly $17 billion in sales nationwide last year. Commercial real-estate auctions accounted for another $15.7 billion last year, up 33 percent.

These are not the "court-ordered auctions" held on the courthouse steps, such as the one that took place this past weekend in Orlando to sell the local home of jailed entertainment entrepreneur Lou Pearlman. Privately run real-estate auctions are gaining ground as the economy sours, even as courthouse sales fail to attract bidders.

"They are a good way to move real estate fast," said Bill Weaver, an associate professor of finance at the University of Central Florida.These are not the "court-ordered auctions" held on the courthouse steps, such as the one that took place this past weekend in Orlando to sell the local home of jailed entertainment entrepreneur Lou Pearlman. Privately run real-estate auctions are gaining ground as the economy sours, even as courthouse sales fail to attract bidders. "They are a good way to move real estate fast," said Bill Weaver, an associate professor of finance at the University of Central Florida.

Read more from Orlando Sentinel

More on this topic from Florida Trend