Real estate auctions are becoming extremely popular, as an auction is a very effective method to sell a property quickly and effortlessly. The main requirement for starting a real estate auction service is that you, a partner, or employee must be a licensed auctioneer. The business can focus on real estate in general, or be more specific and specialize in one particular type of real estate such as vacation properties or commercial buildings. The business creates revenue by way of a commission percentage that is based on the total selling price of the property be auctioned, and the commission rate charged often varies between 3 and 10 percent. The key objective is obvious: sell the property for as much as possible, as this will earn the business a higher commission fee. This will make your client very happy, which in turn helps to build a good reputation in the industry and guarantees future real estate auction clients.