So I came across this auction company in central Pa that is selling quite a few farms in the central PA area (Bedford/Huntington) at auction. They have a rather different way of doing it, and I was curious if anyone else has seen this done. To be honest their procedure rather irritates me, but I know why they do it.
They come in and split the farm into typically 2 to 4 parcels. They then auction off "choice" of parcels with the high bidder taking 1 or all the parcels. Typically 1 parcel will contain "farm buildings" while the other parcels will be perked for a home/building lot. So they now pit the bidders all against each other because no one knows which the other bidder wants. They then offer the property as a whole and if someone advances the bidding more than the sum of each individual piece then they take it..
This auction is 14 parcels, 954 acres total. Same as above. High bidder takes choice, then when they have high bidders on all 14 parcels they will do combinations. You put bid on 2 pieces, if you can advance the bid price you now get it UNLESS, someone wants 3 parcels that contain your parcels. If they can advance the bid then they get them...so forth and so on..
Maybe its just me, but it sure seams like a real slick way to squeeze every penny out of something while adding tons of confusion and uncertainty. Buying high dollar land is stressful enough without games like that...