Sioux County Iowa Farmland Auction
On January 25, 2018 we conducted a farmland auction for clients Neumann-Jensen selling farmland at Orange City Iowa in Sioux County. We were selling 79 acres of raw agricultural farmland located between Orange City and Alton, Iowa. The bidders were paying a 2% buyer premium on this auction which means that an additional 2% is added to the final bid to determine the contract price. This auction results have gotten the attention of stakeholders all across the region with many inquiries coming in from all over the nation. For us as a company it is standard for us to look back and see what we did, what worked and what was the most effective for our clients.
This auction included a 30 day marketing period with aggressive digital advertising. We were happy to have been able to shoot the video footage and collect photos prior to the first snow. Our first preference is to be able to shoot photos with a green crop on them. It probably has no effect on price but an attractive video always ensures it gets consumed at its highest ability. We always want to make the most attractive video to be used in advertising. We also show this video prior to the auction on a big screen for those in attendance to see. As they enjoy free refreshments and visit they can also watch the 3 minute video looping on the screen at the front of the room. We always get a lot of compliments on how well the video lays out the property and auction bidding terms for them and that its just like a salebill but in video format.
This auction included live and online bidding both. The advertising for this auction included strong local newspaper representation, local radio and sale bills locally combined with on the farm signs with remote directional signage. DreamDirt of course employed our digital technologies and targeting as well which resulted in inquiries as far away as Florida and Arizona and multiple inquiries from large metropolitan areas across the Midwest.
On auction day we had 4 bidders registered for online bidding and 12 registered bidders in the room along with a large number of onlookers that had come to see the farm sell. Having non-bidders in the room is very common in every auction. People often come just to see what the farm brings, visit with others and enjoy the social aspect of the auction or to potentially do research for selling their own farm. Many times bankers, brokers and auctioneers also attend to keep their eye on the market as well.
The farmland auction was conducted at the Prairie Winds Event Center in Orange City. This is just an outstanding venue! We were able to have the auction area set up exactly the way we prefer and use the house sound with was perfectly tuned for the space.
At the beginning of the auction I began with the Terms and Conditions of the auction. This process takes about 10-15 minutes. During this time the auction is explained to bidders in great details along with all of the details of the property. Most bidders have thoroughly researched the property at this point but it is our obligation to ensure they have had access to all information that we have on the property.
Not all auctions are the same and each auctioneer does things differently. Many farmland auctions in Sioux County and the region are in fact held outside on the farm regardless of weather conditions. We have always avoided that more often than not because we enjoy having our bidders seated, warm and comfortable where we can take our time and be thorough in presenting the farm to them. Outdoor auctions in the Winter can be a brutal experience! Indoors with online bidding available allowed our bidders here to be as comfortable as possible. Did I mention just how nice the Prairie Winds Event Center is?
We made a video of the bidding and edited out all of the terms and conditions speech as well as break to let you watch the bidding as it happened during the auction. We wanted to post it because of the intense interest in this auction result. As you watch the video you'll see and hear our team in action. Auctioneer Tom Bradley cried for bids at this auction while Jason Dvorak and Darren De Groot worked the floor taking bids and encouraging bidders. Marcy Melby register and clerked the auction while Nicole Smith was the online auctioneer for the day. During the auction I help wherever I'm needed and generally oversee the team and process while keeping communication with the sellers.
We were really excited about marketing this farm for the sellers and happy to deliver such an incredible result for them. Auctions are the best way to sell farmland which shows time and time again.
Are you thinking about selling a farm? Let us put our one of a kind marketing program to work for you. You an start with a free market analysis or give us a call at 855-376-3478
This is our video of the bidding as it happened at Orange City.