Builders turn to auctions as an alternative
Robert Lord builds stunning homes with million-dollar price tags.
Generally the public does not even get to tour these homes because they are sold so quickly or built for a specific buyer, said the St. Charles builder.
But the market has slowed, and four homes in St. Charles -- three in Fox Mill and one nearby -- will be auctioned Wednesday by Inland Real Estate Auctions Inc.
The final open house, which is required for anyone who wants to bid, will be from 1 to 4 p.m. Sunday.
Another auction by Holland Home Auctions will be Nov. 10 and feature up to 150 homes -- half of them new construction. The final open house is today.
Sheldon Good will sell two houses and condominiums on Dec. 4 and townhouses on Dec. 13.
These auctions are more popular with builders and homeowners because the market is difficult and because the process is much quicker than a conventional sale, said Frank Diliberto, president and chief executive officer of Inland Real Estate Auctions.
A builder with multiple homes would spend considerable money for carrying costs the months or years it might take to sell the houses, he said.
And companies like eBay are making Americans more accustomed to buying and selling at auction, Diliberto said.
Lord's homes are elegant and energy efficient and valued from $1 million to $1.7 million. But Lord said they do not compare with the $5 million home he is finishing for auction in the spring, which he calls the ultimate green home.
The builder prides himself on detail, as shown in one of the homes that is on the block, a stone manor house that is almost 6,000 square feet.
Visitors will not miss the glass-enclosed waterfall right inside the front door -- one of two in the house.
The floors are marble or hardwood, lighting controls cost $12,000, there are 50 wall sconces, a $15,000 front door and a central vacuum system.
The large kitchen features hand-finished light cabinets on the perimeter, dark ones on the island, a nearby wine bar and a Viking range.
The master suite is on the first floor. The second floor features a home theater, and each of the four bedrooms has a personal loft.
The auction will help set prices for the unusual homes he builds, Lord said.
The Holland auction Nov. 10 has many houses that are in communities far from the central city, but also single-family homes in towns like Lake Zurich, Streamwood, Wheaton, Lake in the Hills, St. Charles, Lake Villa and Huntley. There are also attached homes in other towns.
The Sheldon Good sale on Dec. 4 will feature two homes and condominiums on Bangs Lake in Wauconda.
A home on 2 acres in Hawthorn Woods was originally a builder's model.
The home was listed for $1.5 million. The minimum bid is $895,000.
A remodeled Bloomingdale house built in the 1920s will be on the same date.
It was listed for $967,000 and bidding will start at $250,000.
Eighteen two- and three-bedroom homes will be sold at Aspen Shores on Bangs Lake in Wauconda. Minimum bids start at $160,000.
On Dec. 13, Sheldon Good will sell six three-bedroom townhouses at Buckingham Pointe in Des Plaines. Bids start at $225,000.