Real Estate Auction Action - Buying A Home At Auction - Answering Service Resources

Home
>
Online Auction
>
Real Estate Auction Action - Buying A Home At Auction

Real Estate Auction Action - Buying A Home At Auction

Due in part to the popularity of the U. S. Department of Housing and Urban Development (HUD)'s home auction program, more potential homebuyers than ever are buying homes at auction. Homes for auction aren't limited to just HUD, however. Many government entities auction homes for payment of back taxes, and some homeowners even auction their homes on eBay.com!

Homebuyers considering buying a home at auction should take some steps in advance to help them with their bid price, and even whether to bid at all on a specific home. There will always be a degree of risk when buying a home this way, but with a little diligence, potential homebuyers could save a lot of money buying in this manner.

Before the auction, you should have your financing arranged, and have enough cash on hand or in your bank account to cover a deposit on your purchase. You need to check the features, location, condition, and ownership history first. Afterwards, be sure to learn what the property is worth by looking at sales of comparable properties in the same area. Compare homes with the same number of rooms is possible, but be sure to allow for price differences due to pools, decks, carpeting, window treatments, etc.

At the auction itself, resist the temptation to get into a personal bidding war, just "to beat out the other guy". Have a set price limit and stick to it. Other houses will come along, and you don't have to win the first auction that comes your way.

You should know that the price of a home at auction is typically the loan balance (if foreclosed), plus any back taxes owed, plus legal fees and other expenses in foreclosing the property. This will typically be the opening bid amount, and the price will go up from there. Even so, it's possible to get a great deal in an auctioned house, with a little research and planning first.

Also, know that you probably won't be able to get an inspection, and are buying the home "as is". If you can't do any needed repair work yourself, or can't hire it done within your budget, you may not end up getting such a bargain in the end.

About The Author

Jakob Jelling is the founder of http://www.cashbazar.com. Visit his website for the latest on personal finance, debt elimination, budgeting, credit cards and real estate.

In The News:

Chef Rock to Rock Signature Chefs Auctions(R) Nationwide
MarketWatch - 9 hours ago
From Hell's Kitchen to a kitchen near you: Chef Rahman "Rock" Harper will be making the rounds at ten March of Dimes Signature Chef Auctions open to the ...

Akerman Facilitates Passing of Innovative Foreclosure Online ...
MarketWatch - 22 hours ago
Historically, foreclosure auctions took place on the steps of county courts; but a recent bill, driven by Akerman Senterfitt's Policy Practice Group, ...
Attorney Senterfitt dies South Florida Business Journal Bizjournals.com
Donald Senterfitt left indelible mark in law, banking Orlando Sentinel
all 15 news articles

Aviation Week
Port Authority Joins Suit Against FAA's NYC Airport Auctions
Business Travel News, NY - Aug 26, 2008
AUGUST 26, 2008 -- The Port Authority of New York and New Jersey today continued its battle against the federal government's plan to auction slots at the ...
Port Authority Looks To Join Lawsuit Against Flight Auctions NY1
In Dispute Over Plan to Auction Off Airport Slots, US Threatens to ... New York Times
FAA to Review Legality of Port Authority Proposal Hudson Valley Press
AVweb - New York Sunall 108 news articles

Ocean Tomo to Sell Highly-Cited Social Networking Patent at Live ...
MarketWatch - 2 hours ago
Ocean Tomo Auctions has received global recognition as the leader in the live auctioning of intellectual property assets for some of the world's largest and ...

Reuters
rate buybacks add to bank writedown worries
guardian.co.uk, UK - 19 hours ago
They were typically long-term notes or preferred shares whose yields reset periodically through auctions. As those auctions started failing, the securities ...
B of A Agrees to Securities Buybacks Wall Street Journal
all 68 news articles

BBC News
Fed auctions another $75B to ease credit stresses
Forbes, NY - Aug 26, 2008
By JEANNINE AVERSA 08.26.08, 11:43 AM ET The Federal Reserve has auctioned another $75 billion in loans to help squeezed banks overcome their credit ...
Federal Reserve auctions $75B in loans to aid banks Youngstown Vindicator
all 741 news articles

Willow auctions former city hall, other property
Howell County News, MO - 2 hours ago
The city of Willow Springs raised more than $100000 at a real estate auction Monday morning. The funds raised will be used to retire part of the debt the ...

Online auctions nets Grayslake over $2800
Grayslake Review, IL - 8 hours ago
By MARCIA SAGENDORPH msagendorph@pioneerlocal.com Old office furniture, gun holders and a jail cell door were all items auctioned off from the former ...

With glut of homes on the market, auctions gain in popularity
Arizona Republic, AZ - Aug 26, 2008
Purveyors of Internet-driven real-estate auctions say their customers operate in a parallel universe where the quick and the dedicated are rewarded with ...

Earthtimes (press release)
New York probes Fidelity, Goldman ties -- sources
guardian.co.uk, UK - 21 hours ago
Auction-rate securities are long-dated municipal, student-loan or mutual fund debt that paid interest rates that reset periodically in auctions. ...
Cuomo probes Fidelity-Goldman ARS link: report MarketWatch
Inquiry probes Fidelity-Goldman ties: report Reuters
Auction Rate Securities Probe Focusing on Fidelity, Goldman Sachs Ties Newsinferno.com
Forbes - Reutersall 200 news articles

auctions - Google News

Answering Service ResourceAnswering Service Resource