- October 2, 2024
- Reading time about 7 minutes
The Dubai real estate market is booming with opportunities for agents and brokers. Over the past few years, property investment has emerged as the most promising venture for investors and realtors. A report suggests that there has been a surge in online property searches in Dubai in recent years, highlighting the growing preference for listing management platforms. To tackle the growing competition and fast evolution of online real estate platforms, top realtors have adopted a new traction strategy—online auctions.
Top realtors in Dubai see online auctions as more than just an emerging trend. No wonder, higher profits follow. This blog will discuss the top 10 real estate auctions in Dubai and why you must know more about them to make the shift.
But first, let’s understand what an online real estate auction is and how it helps realtors maximize their profits.
Online Real Estate Auction: An Overview
Online auctions assist realtors in selling properties faster and at higher prices. Property auctions aren’t a new trend. It has been part of the real estate sector for quite a long time. Traditional auctions are public events where anybody can come and make their best bid above the reserve price. The one with the highest price gets the deal.
An online real estate auction is a digital version of the traditional property auction where the properties are listed on a listing management platform, and prospective bidders can place bids through an online auction platform. Online auctions offer a virtual marketplace open to all buyers from anywhere in the world, unlike traditional auctions, which had restricted access due to the constraints of a place.
The advantage of bidding from anywhere makes online real estate auctions the best choice for both sellers as well as realtors. As one of the leading online auction platforms, BidHom has witnessed real estate brands benefiting from auctions. There are a number of types of online auctions that BidHom offers. Let’s quickly have a look.
Classic Online Auction
In this traditional format, buyers enter incremental bids for a specified time; the highest bid wins the property. The last bid before the timer runs out is taken as the winner, where the highest bid above the reserve wins the deal.
Dutch Online Auction
A Dutch auction begins with a higher price for the property and lowers the price until a buyer accepts the price of the property. These reverse-type auctions encourage bidders to decide quickly, as no one wants to lose the deal to someone else.
Highest and Best Offer Auction
The buyer submits the highest price on offer without any kind of ongoing process of bidding. Then, the seller reviews all bids, and he chooses the most favorable to him in terms of price and other terms.
Online Auction Market in Dubai
Dubai’s online property auction market is booming. This is reflected in the promising real estate market growth in Dubai. The first six months of 2024 witnessed sales for Dubai homes increasing by a staggering 75,543 in value, to AED 191 billion. This bullish market trend works in favor of online auction platforms, allowing quick and direct access to a wide cross-section of prospective buyers, especially in the off-plan segment, which witnessed an 80% increase in Q2 sales in 2024.
Besides, with the ongoing increase in property rates—a rise of 28% for villas and 17% for apartments across H1 2024—the online auction model becomes an attractive platform for sellers to avail market demand at a premium. Real estate auction platforms like BidHom allow real estate agents to leverage this blooming market trend and expand their reach to a greater population thereby enabling high profits in such an evolving environment.
Now let’s take a brief look at the top 10 auctioneers in Dubai.
1. Dubizzle Pro
2. Cavendish Maxwell
3. Aston Pearl Real Estate Broker
4. DRE Homes Real Estate
5. Emirates Auction
6. Sasson Real Estate
7. Ikon Homes Real Estate
8. Gold Mile Properties
9. Lynx Real Estate Brokers
10. Espace Real Estate
These real estate brokers and agencies are staying on top of their game by bringing innovation to their business. This is how these auctioneers benefit from real estate auctions in Dubai.
Faster Sales Cycle
Real estate deals do indeed take a lot of time, coupled with some lengthy negotiations and transactions. Online auctions, on the other hand, set a fixed timeline within which the bids must be made. This way, properties sell within any given period, and agents close the deals much faster than before. This accelerates the cash flow and reduces the number of days properties spend in the market.
Wide Coverage
Another major benefit of online auctions is the global reach. Online platforms do not have geographical constraints; instead, they attract buyers from around the world, while the traditional auction is rather limited in terms of geography. This is particularly useful for more expensive or specific properties, thereby widening the scope of the agent to attract international investors.
Competitive Bidding Environment
Online auctions create competitive bidding in the sales process, whereby buyers must compete. This frequently results in a sale price of the estate much higher than the initiated listing. In Dubai, which has an extremely competitive market with real estate values escalating, this process allows agents to charge their clients at better prices and raise the commission.
More Transparency
The process of an auction is very open and transparent: buyers can see how much others are willing to pay. Transparency to both buyers and sellers builds trust because all parties can see the bids in real-time. For an agent, that reduces much of the back-and-forth negotiation that tends to slow down the sale process and make it more complicated.
Access to High-Value Sales
Premium properties and high-value properties typically sell very well in auction settings. In Dubai, significant high-value deals have been witnessed in the past few years. Online auctions make it possible for agents to manage and handle such premium listings efficiently, bringing serious buyers quickly and driving up sale prices with competitive bids.
More Profit
As properties tend to sell faster at desired prices in an auction, agents often can achieve higher profit margins. An online auction creates intense competition among bidders. Sellers and realtors are left with more profits at the end of the closing.
Realtors who are thinking of leveraging the power of real estate auctions in Dubai must consider investing in a reliable auction platform.
BidHom—Get Started with Confidence
The best way to approach online auctions with confidence is to invest in a robust listing management platform. What if we told you that BidHom allows you to not only set up your website with its highly intuitive real estate website builder but also conduct online auctions for your listings in just a few simple steps?
BidHom is one of the first real estate auction platforms that has enabled hundreds of realtors in Dubai with all the power-packed features necessary for them to be placed among high-revenue players in the market. As a comprehensive listing management platform, BidHom provides the tools realtors need to streamline property listings, manage online auctions, and attract a global audience with ease.
Whether you’re a small agent wanting to accelerate the sale or a broker looking to cash in on the premium property auctions, BidHom has made it seamless from building your website to successfully carrying out these online auctions. Are you ready to join the list of top auctioneers in Dubai? Start your online auction today and see just how smooth and lucrative online auctions can be! Get more buyers interested, close deals faster, and grow your business like never before!
