Gordon’s Estate Services has begun the first round of its Touchstone on Lake Muskoka auction.
The unique online auction process will be held in three rounds beginning May 10 and closing on July 22.
Buyers will be able to bid on fractional ownership of units of varying size at the beautiful cottage-inspired getaway located in Bracebridge.
The online auction process is somewhat new in the real estate world and we wanted to learn more about its inner workings. We chatted with Manson Slik, a broker at Gordon’s Real Estate Services about how the process will work.
BuzzBuzzHome: Is this auction process relatively new for this type of real estate sales?
Manson Slik: Well I would say like everything commercial, the online concept is gaining a stronger presence. I would say if you were to ask a hundred people “what would define an auction?” my expectation is less than five per cent would describe a live auction scenario, 95 per cent would describe something online.
BBH: So it’s becoming more common?
MS: Well it’s much more common, not a lot of people go to live auctions so it’s a very small and shrinking marketplace.
BBH: Why might an online situation appeal to bidders?
MS: In an online situation, you obviously don’t have to get in your car and drive to where the auction is going to be. We identified early that the marketplace for these suites on Lake Muskoka were probably all two hours away, so why make people drive and come up and stand around when really they can bid from the convenience of their home.
BBH: What types of units will each round encompass?
SM: The first round includes most of the smaller units in the development, they’re basically called studios and those have the lowest minimum bids, starting at between $4,500 and $5,000 for a one-eighth fraction. They’re all basically like a luxury hotel room.
Round two includes units ranging from two bedrooms all the way up to four bedrooms. I feel those will appeal to a broader audience. The first round will probably appeal to singles and young couples while the second round will appeal to young couples and families with kids that are over ten.
The third round are the three and four bedroom villas. These are the largest units and they will probably appeal most to larger families, entertainers, and people with young kids because these are the ones near the beach.
BBH: What are your expectations for traffic throughout the auction process?
SM: I would say my expectation is there will be lots of traffic. I think fractional isn’t something that people generally understand. They have looked at the opportunity from the perspective of what Touchstone will look like, what it will feel like, and then understanding the fractional purchase process.
For more information on the auction visit gordonsestateservices.com.
