AARE designation – Accredited Auctioneer Real Estate

This entry is part 2 of 6 in the series NAA designations

The sale of real estate at auction has become an increasing trend in the United States. Having long been the default method of liquidation for distressed properties, real estate auctions are becoming mainstream. More and more buyers and sellers of real estate are realizing that the auction method of marketing can many times be superior to traditional real estate listings.

The National Association of Realtors claim that “[all] types of property can be sold at auction. For sellers, auctions mean immediate cash and no long-term carrying costs. For buyers, auctions can save time and money.” The National Auctioneers Association claims that over $58 billion in real estate was sold at auction in 2007. Real estate auction volume has increased each year since the NAA started tracking it in 2003.

Having long recognized the importance of real estate as a component of the auction industry, the NAA offers a professional designation called AARE – Accredited Auctioneer Real Estate. AARE is a  prestigious designation, held only by several hundred auctioneers worldwide.

Here’s the official description from the NAA website.

An auctioneer with the AARE designation has gone the ‘extra mile’ to ensure they offer the highest level of professionalism and the most up-to-date information when it comes to selling properties. Whether selling residential, agricultural, commercial or industrial properties, AARE auctioneers have enhanced knowledge in all pertinent areas, such as:

Accredited Auctioneer Real Estate

Accredited Auctioneer Real Estate

  • Marketing techniques
  • Financial/investment calculations
  • Evaluating cash flow
  • Holding-period analysis
  • Tax consequences of buying and selling properties
  • Multi-parcel real estate auctions

We asked AuctioneerTech friend Tom Jordan, CAI, AARE, CES, MPPA, why an auctioneer should take the AARE courses. Tom is a member of the AARE committee and a candidate for NAA Education Institute Trustee. He posted his reply on his blog. Here’s what he said.

Most real estate brokers are taught how to sell real estate the traditional way by listing the property and putting it in MLS. They either learned this through going to a state approved real estate school or the real estate agency they work for or both. The auction method is not taught in real estate schools, though there is nothing wrong with selling real estate the traditional way – not all properties are good for auction and, on the flip side, some properties will do better at auction. The NAA Education Institute designed the AARE designation to fill the knowledge void both for Realtors(R) and auctioneers and real estate brokers of the auction method of how to sell real estate at auction.

Tom also noted that the second of the three courses was recently rewritten to make it flow better. The course now requires a working knowledge of using a calculator for financial functions so the class time can be spent on learning real estate- and auction-related equations.

The AARE course is offered is three classes. Each AARE class is two days in length.

  • 100 Emphasizes how to market residential, agricultural, commercial and industrial properties
  • 200 Learn the techniques for evaluating cash flow, holding period analysis, tax consequences of auctions and the challenges associated with each
  • 300 Working in groups, students evaluate properties, design a proposal to get the sale, and plan, conduct and prepare a post-auction report

The NAA requires that each auctioneer with the AARE designation successfully complete all three classes as well as submit documentation of ten auctions, an auction summary report and an application to gain the designation. In addition to the initial requirements, there is the standard yearly designation fee and requirement for continuing education.

Realtor(R) Dave Sommers, AARE, recently received the designation. “The instructors were excellent,” he said, “especially Manson Slik. The course makes what you’ve been doing seem fresh. As with all NAA courses, the additive benefit of the camaraderie with others adds so much to the course materials. Knowing that there are other auctioneers who have dealt with the same problems you’ve had and can walk you through solving them is an invaluable benefit.”

Your next opportunity to take the AARE courses is in Chicago in April. For a list of upcoming courses from the NAA, see the NAAEI Events List.

Series Navigation

ATS designation – Auction Technology Specialist for auctioneersCES designation – Certified Estate Specialist

This entry was posted in designations and tagged , , , . Bookmark the permalink.

Aaron Traffas, CAI, ATS, CES

twitter.com/traffas | aarontraffas.com | aarontraffasband.com

Aaron Traffas, CAI, AMM, CES, is an auctioneer from Medicine Lodge, Kansas. He is currently community evangelist for Purple Wave in Manhattan, Kansas. Aaron serves as the current president of the Kansas Auctioneers Association and in the past has served on the National Auctioneers Association Education Institute Board of Trustees. He is a past instructor at CAI and co-wrote and instructed the ATS designation course from NAA. He currently instructs the Internet Auction Methods course offered by the NAA. An active contract bid caller, he has competed in multiple state auctioneer contests including placing twice within the top 5 in Kansas. During the summer, Aaron operates a farm in south central Kansas. Aaron is an active singer and songwriter and the Aaron Traffas Band's latest release, Enter: The Wind, can be found at iTunes, Amazon and Spotify.
  • In my opinion one important factors in a business especially in real estate is the way you market your business.. Nowadays, there are lots of style in marketing a business like real estate marketing.. Social media is one great tool to market your business..

  • I read this press release before way back 2007 from NAA, showing that residential real estate auctions was the fastest-growing sector of the auction industry which is grew by 5.3 percent during that year. No doubt, real estate continues to be it’s hottest growing sector.

  • Aleman

    Javea is a delightful place where one can holiday, live a simple life or simply retire. The place is drowned in history and yet enjoys the charm and ambience for local and international residents. People of Javea are very helpful and live in a healthy climate with tranquil lifestyle.

  • One of the biggest advantages of buying property in Javea is that prices are much lower than on the Costa Del Sol, for example, and typically range from EUR175,000 for an apartment up to EUR320,000 for a villa. Couple this with the growth of tourism in the region and you can see the immense potential that buying property in Javea offers. Not only can one expect a substantial appreciation in property prices but also expect to get good rental income owing to the high demand from both Europeans and Spanish nationals.

  • • Don’t just transact in villa vendors, look also into national agents. Search the web who can help you find different Costa Blanca Villas guides or agents. It is important that you check if these agents are API trained.

  • The pleasant weather throughout the year makes Javea a year-round tourist destination. In summers, the temperature reaches up to 40 degree Celsius while the winter temperatures are never lower than 10 degree Celsius. The high season in Javea is in the summer when the tourist influx is at its peak. So if you are planning your trip to Javea in the summer, be sure to book your hotel or vacation rental well in advance.

  • Nightlife here is a little disappointing to those who are looking for beach parties and other action expected at some beach resorts. The beach area can quiet at night with a few restaurants having some local artist play the guitar, but for those looking for something a little younger, then Achill nightclub is the place to go. However, nobody stops you from having a party at your villa rental in Javea.

  • In addition to your entrepreneurial ventures, you are also an artist. Tell us a bit about your artistic background and the creative endeavours you are involved in now.

    I love to paint. I had not done it for many years due to being so involved with the internet industry. When we moved here I was so happy to get back to my passion and use my skills that I developed at university. Now, I paint to please myself but the paintings sell very easily to people buying new villas or to tourists.