More U.S. homes for sale by auction

The Boston Globe reports:

Auctioneer Jerome Manning kicked off the bidding by enticing prospective buyers with a review of the amenities of the home in Boxford, Mass.

"A beautiful home -- 5,200 square feet, plus a barn," he told the packed crowd of real estate buyers and auction observers. He did not mention that it is pink, an uncommon color for a house. The first offer -- $300,000 -- came in, prompting a "God bless you, sir" from Manning, who began coaxing bidders. The bids climbed, to $425,000, then $437,500. "475 is what I like," Manning called out, eliciting an offer for $460,000. "Is everybody satisfied?" he yelled. "Sold for $460,000!"
A growing number of homeowners and builders, unable to sell homes or condominiums the traditional way, through an agent, are turning to Sotheby's-style auctions like this 26-property sale last month in Newton. With the housing market softening in U.S. cities from Boston and Naples, Fla., to Utah ski towns, the National Auctioneers Association reported that residential properties valued at $14.2 billion sold in 2005 in live auctions, a 24 percent increase over 2003 sales.

We question if this will become a long term trend because most people want to see the actual house in person before bidding.