Showing posts with label real estate. Show all posts
Showing posts with label real estate. Show all posts

Thursday, October 8, 2026

How an Auction Helps Discover Fair Market Value: A real-time response to a property, beyond the comps


Fair market value is often discussed as if there is one number waiting to be found in a report. Comparable sales, appraisals, and tax appraisals can all be useful, but each is built for a different purpose and from the information available at the time. None of them can show us exactly how today’s buyers will respond to a particular property until that property is presented to the market.

An auction gives that response a clear setting. Over a defined marketing period—often 30 to 90 days, depending on the property—buyers can learn about the property, review its condition and the terms of sale, and decide whether it fits their needs and their ability to buy. With enough exposure and clear information, an auction can help discover what the market is willing to do for that property now.

When the available comparisons are limited

I have seen auction results that were difficult to anticipate from the available comparisons. That can happen when a property has a combination of features, scale, or potential uses that is rarely represented in recent sales. An appraisal may have limited comparable data to work with, while an auction can bring interested buyers into a position to evaluate and compete for the property.

A strong auction result does not automatically mean an appraisal was wrong. Appraisals rely on professional analysis and available data. When close comparisons are limited, the result of a well-marketed auction can add current evidence about how buyers respond to the property and its terms. Competition may reveal demand that was not obvious from the available comparisons alone.

The market can also respond differently as a property’s circumstances change. An earlier effort may attract interest without producing a completed sale; after time passes or a barrier is resolved, a later campaign may draw a different response. Each campaign is a separate snapshot, shaped by the information, conditions, and buyers in that market at that time.

Tax appraisals, market appraisals, and auction results serve different purposes and are not interchangeable. When multiple willing and able buyers have access to the same material information and terms, their participation can provide useful evidence of how the market responded under those specific conditions.

The market can respond before auction day

An auction is a marketing process, not only the moment the bidding opens. In some campaigns, sellers receive multiple offers before the scheduled auction. The auction terms and conditions give buyers a clear framework for making competitive offers on the seller’s preferred terms. Some offers may follow that framework and others may not; the seller can compare each offer against the terms and priorities established for the sale.

A buyer may submit an offer before auction day. When that offer satisfies the seller’s terms and conditions and timeline, the seller may choose to accept it before the scheduled auction. That response is also part of what the marketing process can uncover.

A response can reveal more than a price

Not every auction ends with a sale. Even when no buyer completes a purchase, questions, registrations, and conversations can reveal what kinds of uses buyers are considering, which features matter to them, and what barriers may be keeping someone from moving forward. The market may also show different levels of interest in different ways of presenting a property—for example, more interest in smaller tracts than in a larger combined offering. These signals do not establish a sale price or guarantee a future sale, but they can help a seller understand where interest exists and decide what to explore next.

When buyers compete, an auction can reveal a price. When offers arrive before auction day, the seller can compare price and terms. And when a property does not sell, the process may still uncover questions, barriers, or possible uses that were not apparent at the beginning. Each response can help the seller decide what to do next.

A market test, with real conditions

To understand what the market will support now, buyers need a fair opportunity to respond. That means enough marketing time and broad exposure, clear property information, and clear terms and conditions. Buyers need to understand what they are considering and how they can participate.

An auction does not guarantee a particular price, and one auction result cannot predict what the property might bring months or years later. Fair market value is time-specific. The market can change, a property’s circumstances can change, and different buyers may see different possibilities.

Comps and appraisals matter. So does hearing directly from the market. An auction can bring those pieces together in a defined period of exposure and show how informed buyers respond to a property under clear conditions. That is how we can move beyond estimating what a property might be worth and begin to discover what the market will support now.


Wednesday, September 9, 2026

What Is the Cost of the Gap Between Knowing & Doing?


There are a lot of situations where the problem is not a lack of information.

People know things.

The Realtor knows real estate.

The auctioneer understands how to create movement around assets, timing, and buyer behavior.

The attorney knows the legal pieces.

The lender understands financing.

The heirs know the family history.

The owner knows what they want - or at least what they think they want.

And yet somehow, the situation can still sit there.

Everybody owns a piece.

But who owns the outcome?

That is a question I have found myself thinking about a lot lately.

Because there is a real gap between knowing what could be done and actually getting something done.

And that gap has a cost.

Knowing the answer is not the same as moving the problem

This is not just something I have noticed in my own work.

The Project Management Institute's 2023 Pulse of the Profession research asked project professionals which skills were most critical to helping them accomplish organizational objectives.

Communication - 68%

Problem-solving - 65%

Collaborative leadership - 62%

Strategic thinking - 58%

Those results were remarkably consistent across industries, regions, experience levels and certification status.

I find that interesting because none of those skills is simply "know your technical field."

They are the skills required to work across boundaries, understand the larger problem, communicate what matters and help people move toward an outcome.

Technical expertise matters tremendously.

But technical expertise by itself does not guarantee movement.

You can assemble several highly competent professionals around a problem and still have a situation that goes absolutely nowhere.

Time has a cost

Sometimes the cost of that gap is very literal.

A property is still being carried.

Taxes continue. Insurance continues. Utilities continue. Maintenance continues. Interest continues. Mowing, cleanup, security, repairs - whatever that asset requires - continue.

Time is not always neutral.

McKinsey & Company studied organizational decision-making and found that only 37% of respondents said their organizations consistently made decisions that were both high-quality and fast. Their research also found that faster decision-making and faster execution were linked with higher reported returns. Organizations that made decisions quickly were also twice as likely to report high-quality decisions as slower decision-makers.

Now, that certainly does not mean every estate, property or family decision should be rushed.

Some decisions need time.

Some need research.

Some need prayer.

Some need legal advice.

Some need people to cool off before anybody says another word.

But waiting is still a decision.

And sometimes waiting has a price.

Opportunity has a window

Sometimes the cost is not what you are paying today.

It is what is no longer available tomorrow.

The professional you need may have availability now and not three months from now.

A buyer may be ready today and gone later.

A crew may have an opening.

The market may shift.

Financing may change.

A family member may finally be ready to make a decision after months - or years - of resistance.

There are moments when enough of the pieces line up that something can actually move.

If nobody recognizes that window, it can close.

That does not mean forcing movement simply because something is available.

It means understanding that lost opportunity is also a cost.

The wrong conversations are expensive

One of the most costly patterns I have seen is not necessarily a lack of communication.

Sometimes everybody is talking.

They are just not talking to the right people, in the right order, about the right things.

A family member explains the situation to one professional.

That person hears one version.

Someone else gets involved later and hears another piece.

Another professional starts working from assumptions that made perfect sense based on the information they were given - but the information was incomplete.

Then somebody else comes in and asks questions that were already answered six weeks ago.

Eventually, hours of professional work and emotional energy may have been spent solving slightly different versions of the same problem.

And the people who actually needed to speak directly may still never have had a real conversation.

Sometimes one of the most valuable questions you can ask at the beginning is simply:

Who actually needs to be in this conversation?

Because the wrong conversations do not merely waste time.

They can create commitments.

They can create assumptions.

They can create resentment.

And sometimes they create an entirely new problem on top of the one you were originally trying to solve.

Sometimes the hurdle is not disagreement. It is translation.

People can look at the exact same problem through completely different lenses.

An attorney may be talking about risk.

A seller may hear delay.

A lender may be discussing feasibility.

A family member may hear rejection.

An auctioneer may be talking about market response.

An owner may hear a judgment about the value of something they have spent a lifetime building.

They may be discussing the exact same hurdle and still feel like they are having completely different conversations.

Communication style matters too.

Some people need facts first.

Some need reassurance.

Some need time.

Some want the bottom line immediately.

One person may be primarily afraid of losing money.

Another may be afraid of making a decision they will regret for the rest of their life.

Another may be worried about what their siblings will think.

Another may simply be tired.

When those different pain points are not recognized, ordinary disagreement can become deeply personal very quickly.

Sometimes the communication gap begins before anybody even opens their mouth.

Different experience creates different perspective

This shows up regularly with heirs.

One family member may already have served as executor for two other estates.

They have been through the process.

They know that eventually decisions have to be made.

They understand that belongings will be sold, property will transfer, paperwork will be signed and the family will survive the discomfort of it.

Another heir may be liquidating an estate for the first time.

To that person, every decision may feel enormous.

They may feel a much sharper sense of responsibility.

They may question things the more experienced person considers routine.

They may need more explanation, more time or more reassurance.

Neither experience is invalid.

The person with lived experience may bring perspective and pattern recognition.

The person experiencing it for the first time may bring fresh scrutiny, important questions and a heightened awareness of responsibility.

Experience changes perspective. It does not cancel someone else's.

They may be looking at the exact same decision.

They are simply not carrying it from the same place.

And when that difference is not recognized, one person's caution can look like stubbornness while another person's experience can look like indifference.

That is a communication problem long before it becomes a decision problem.

More hands do not automatically create more progress

There is a tendency in complicated situations to assume that adding more professionals must make the plan better.

Sometimes it does.

Sometimes it makes the situation substantially harder.

Harvard Business Review reported Gartner research in 2024 finding that 78% of organizational leaders experience what Gartner calls "collaboration drag" - excessive meetings, too much feedback, unclear decision authority and other forms of coordination that actually slow work down.

That distinction matters.

Collaboration is powerful.

But simply involving more people is not collaboration.

If five capable professionals are each brought in before the entire situation is understood, you can end up with five competent people solving five different versions of the problem.

Then commitments start getting made.

Money gets spent.

Assets get divided.

Timelines get promised.

People get attached to their own recommendation.

And now the family is not simply trying to solve the original problem.

They are trying to reconcile all the decisions that were made before anyone understood the whole thing.

Stop confusing activity with progress.

A lot can be happening while very little is actually moving.

Collaboration can prevent duplicated professional work

This is where genuine collaboration becomes incredibly powerful.

A Realtor may be researching one piece of the situation.

An attorney may be researching something adjacent.

An auctioneer may be gathering information that overlaps with both.

A lender may need information somebody else already has.

When those professionals remain completely siloed, the client may essentially be paying several people to circle portions of the same problem.

At minimum, collaboration creates the opportunity to say:

I already have that.

You need to talk to this person.

Before you spend money on that, we need an answer to this.

That solution might work differently if we combine it with this option.

It can eliminate duplicated effort.

But it can also uncover opportunities that no single professional could see from inside one lane.

Sometimes a solution that appears impossible from one profession's perspective becomes workable once another discipline enters the conversation.

That is part of the value of looking at the entire landscape before hiring isolated pieces of a solution.

Do not spend your way into a plan you have not actually made

This may be one of the harder lessons.

People sometimes begin committing resources before they know what the overall plan requires.

They hire someone.

Then someone else.

They promise an asset.

They agree to a timeline.

They start cleanup.

They move belongings.

They repair something.

They list something.

They pay for an opinion.

Each individual action may be perfectly reasonable.

But reasonable actions taken in the wrong sequence can still work against the larger goal.

Sometimes the first useful step is not hiring another professional.

It is understanding enough of the whole situation to know:

Who needs to be involved?

What information is missing?

What should happen first?

What should absolutely not happen yet?

And what resources need to be protected until the plan becomes clearer?

Because once money, time, assets and goodwill have been spent, you do not always get them back.

A stalled plan does not have to remain completely stalled

The opposite is also true.

You do not always have to know the entire answer before anything can happen.

Maybe a house cannot be sold yet, but personal property can be sorted.

Maybe the family is not ready to liquidate, but documents can be gathered.

Maybe financing is not settled, but repair estimates can begin.

Maybe everyone cannot agree on the whole plan, but there is one piece they can agree on.

I have watched that matter.

I have worked with families who could barely agree on anything, but they could agree on one part of a plan.

So we started there.

That one piece created movement.

Movement created evidence.

Evidence created trust.

And sometimes that trust made the next conversation possible.

You do not always need everybody to agree on everything.

You need to understand what can move first without damaging what needs to come next.

That is a very different thing.

Assets and situations can deteriorate while everyone is deciding

Property does not politely sit still while everybody debates what to do with it.

Roofs leak.

Grass grows.

Pipes break.

Weather happens.

Vacant homes deteriorate.

Contents are damaged.

Maintenance gets deferred.

People become more frustrated.

Relationships wear down.

Markets change.

A situation that was manageable six months ago may become substantially harder simply because nobody moved.

That does not mean the fastest answer is always the best answer.

It means deterioration belongs in the calculation.

Sometimes doing nothing feels safe because no affirmative decision has been made.

But doing nothing can still change the outcome.

Sometimes the biggest obstacle is the answer we already decided was right

And then there is another kind of stuck.

The kind created by certainty.

Sometimes people are not really looking for professional judgment.

They are looking for professional confirmation.

They have already decided what the answer should be and are now looking for someone with a license, title or credential to agree with it.

There is nothing inherently wrong with knowing what you want.

There are plenty of professionals who are perfectly happy to execute a clearly defined request.

But that is a different relationship from asking somebody to evaluate the problem.

If you are asking for professional judgment, then you have to leave enough room for that judgment to change your thinking.

Otherwise, we waste your time too.

And ours.

Sometimes people have developed an enormous distrust of professionals.

Sometimes that distrust was earned through a bad experience.

Sometimes it comes from watching somebody else have a bad experience.

And sometimes it comes from a strong assumption that has never actually been tested.

All of those things are real.

But they can also create a situation where every possible solution gets disqualified before it can even be explored.

Sometimes the cost of staying stuck is not that nobody has an answer.

It is that everybody is holding too tightly to the answer they already have.

Knowing. Seeing. Moving.

The more I work in complicated situations, the more I find myself thinking about professional value in three different ways.

Knowing is expertise. It is knowing the law, the market, financing, assets, process, timing or the industry.

Seeing is recognizing patterns. It is noticing what does not add up. What has not been considered. Where two seemingly separate problems actually touch. Which assumption needs to be tested. Which resource needs to be protected. Which opportunity nobody else has recognized yet.

Moving means helping the right people, information and decisions meet each other closely enough that something can actually happen.

That work can look deceptively simple.

Questions.

Phone calls.

Follow-up.

Clarification.

Translation.

Sequencing.

Connecting professionals.

Bringing family members into the right conversation.

Recognizing different pain points.

Finding the piece everyone can agree on.

Stopping somebody from making a premature commitment.

Sometimes simply saying:

Before we do that, there is one more thing we need to understand.

None of those actions may look particularly dramatic.

But together they can be the difference between a collection of opinions and an actual plan.

And maybe that is the part we do not talk about enough.

You may already have all the experts you need.

You may already have most of the information you need.

You may even already have several good ideas.

The question may simply be:

Who is helping the experts, the information and the decision meet each other?

Because when everybody owns a piece, somebody still has to think about the outcome.

And there is a cost when nobody does.

Research Sources

Project Management Institute (PMI), Pulse of the Profession 2023: https://www.pmi.org/about/press-media/2022/pulse-of-the-profession-2023

McKinsey & Company, Decision making in the age of urgency: https://www.mckinsey.com/capabilities/people-and-organization/our-insights/decision-making-in-the-age-of-urgency

Harvard Business Review, Why Cross-Functional Collaboration Stalls and How to Fix It: https://hbr.org/2024/06/why-cross-functional-collaboration-stalls-and-how-to-fix-it

 

Friday, September 4, 2026

What if the first decision isn't which service provider to hire?


I've been thinking a lot lately about when people call me.

For years, people have called because they needed an auctioneer. Or they needed to sell real estate. Or they had a house full of personal property that needed to be dealt with.

But lately I've found myself wishing people would call me before they know what they need.

That probably sounds a little backwards.

But what if the first decision isn't which service provider to hire?

What if the first decision is figuring out what combination of services actually gets you where you're trying to go?

Because most of the situations I walk into aren't really one-service problems.

There may be real estate to sell, personal property to liquidate, repairs to consider, a move to coordinate, debt to pay, family members with different opinions, timelines that matter, and expenses that continue whether anyone is ready to make a decision or not.

And sometimes people have already started solving those individual pieces before anyone has looked at the entire landscape.

They've talked to a Realtor about the house.

They've talked to someone about selling the contents.

Maybe a neighbor has already offered to buy the property.

Maybe they've called a cleanout company.

Maybe an attorney has given them perfectly good legal advice.

None of those things are necessarily wrong.

But each professional is naturally looking at the situation through the lens of the problem they're being asked to solve.

And I've started to realize that the work I enjoy most happens before we narrow the problem that far.

When I sit down with someone, I want to hear the entire situation.

I think about what they told me—and sometimes what they didn't tell me.

I look at the assets we know about. I want to understand the timeline. I want to know what they're actually trying to accomplish.

Sometimes it makes sense to sell the real estate first. Sometimes the personal property needs to go first. Sometimes both can happen together. Sometimes the thing someone assumed needed to happen doesn't need to happen at all.

And sometimes the biggest issue isn't an asset.

It's readiness.

Two spouses can both say they want to move and still not be in the same place about what that actually means.

Someone can desperately want a difficult situation behind them and be moving so quickly toward relief that they're about to make a decision that isn't in their best interest.

Someone else can be completely confident in the plan they've created—and experience may tell me where that plan is going to cause headaches before they ever get there.

That's where I have realized something about myself:

I don't particularly like putting Band-Aids on problems. I want to help solve them.

That doesn't mean I expect a seller to blindly do everything I recommend. My entire career has involved compromise and collaboration with sellers.

But there's a difference between collaborating on a plan we've developed together and being hired simply to execute a solution someone chose before we ever looked at the whole problem.

If you call me early enough, I'm going to look at the entire situation. I'm going to consider how you can leverage the assets you have within the timeline and circumstances you're dealing with and give those assets their best possible shot.

And sometimes my advice may be that you shouldn't hire us.

I may tell you that the labor involved in doing something is going to eat up too much of what you're trying to gain.

I may suggest a route you haven't considered.

I may tell you that I think another professional or another solution makes more sense.

I can't guarantee what a market will do. Nobody can.

But I can use what I've learned to help you look at the assets you have, the conditions you're operating within, and the different ways available to accomplish what you're trying to accomplish.

Maybe that's why this matters more to me at this point in my career.

I've done enough life to know that money matters. But money has never been what makes a project feel worthwhile to me.

The projects I remember are the ones where I can look back and know:

We left that situation better than we found it.

Sometimes that meant substantially more money for a seller.

Sometimes it meant getting movement in a situation that had been stuck for years.

Sometimes it meant telling someone not to spend money on something that wasn't going to serve them.

And sometimes "better" isn't purely financial at all.

Because the entire landscape includes more than assets.

There are contracts, deadlines, expenses and market conditions.

But there are also people.

There are relationships, emotions, grief, readiness and sometimes people whose needs may not matter contractually but absolutely affect whether a plan will actually work.

You can't always remove the humanity from a situation just because doing so would make the transaction cleaner.

So maybe before you decide that you need an auctioneer, a Realtor, a contractor, a cleanout company—or anyone else—stop for a minute.

Look at the entire landscape.

What are you actually trying to accomplish?

What assets are involved?

What advice are you going to need—not just what services?

What timeline are you working within?

Who will be affected by the decisions?

And does the person you're talking to have enough experience across the situation to help you see how those pieces affect one another?

There is almost always more than one way to get something accomplished.

And if the way that seems like it should solve your problem starts making the whole situation increasingly complicated, maybe that's a good time to pause.

Bring somebody in who has seen enough to help you look at the whole thing again.

Maybe the first step isn't choosing the road.

Maybe it's understanding the landscape well enough to know which road gives you the best shot at getting where you're trying to go.