Q.What does "sold subject to right of redemption" mean?
A. In certain states, there is a period following the foreclosure sale where certain parties are given the opportunity to "redeem" the foreclosed property. The purchaser at the foreclosure sale receives a Sheriff's Deed or Sheriff's Certificate, but does not receive legal title to the property until the redemption period expires. Auction.com is representing institutions that hold Sheriff's Deeds or Certificates to thousands of properties in the redemption period. These financial institutions are eager to sell these properties and savvy investors will view these auctions as an opportunity to acquire these properties from very motivated institutional sellers. Until the redemption period expires, you cannot access the property, evict or collect rent from the occupants, make any repairs, or otherwise occupy the property. In the event a property you purchase is redeemed, you will be entitled to receive the price paid to redeem the property but will not have any interest in the property. You should research the amount that an eligible party will need to pay in order to redeem the property before bidding.
Q. What if the property is abandoned?
A. Laws vary from state to state and you may be able to petition the court to shorten the redemption period if the previous owner is found to have abandoned the property. Check with your real estate attorney to see if this option may be available to you.
Q. How will the property be conveyed?
A. Properties will be conveyed by Assignment of Sheriff's Deed, Assignment of Sheriff's Certificate, or Quitclaim Deed. See the purchase documentation for full details.
Q. When is payment due?
A. For online bidders, the Total Purchase Price must be received by the Escrow/Closing Agent no later than 5:00 p.m. in the state where the property is located on the first business day following the auction. Bidders attending a live auction will be required to tender the Total Purchase Price by cash or cashier's check immediately upon the close of bidding for that particular property.
Q. How do I register to bid online?
A. It's easy, simply locate the property or event you're interested in and click on the "register for this event" button prominently displayed. From there you'll create an Auction.com profile and be provided step by step registration instructions. You're also required to complete additional bidding qualification steps, instructions for which will be provided via email as you complete the registration process. Please see the "BIDDER QUALIFICATION" section in the auction Terms and Conditions for specific details.
Q. Can I use my ATM/debit card for the registration deposit?
A. We recommend using a credit card. A debit card does not recognize this transaction, so the transaction may either be rejected in its entirety or render the amount of the deposit unavailable in the account associated with the debit card. Additionally, when determining which type of card to use, be sure to remember that certain properties will incur a non-refundable transaction fee of the full deposit amount at the time you are designated as the winning bidder, the amount of which will be credited at closing to the total purchase price of the property. Those Bidders who are not successful Winning Bidder's during the Auction will have the authorization hold on their credit card removed following the Auction day. Such holds are subject to the card issuers' terms and conditions.
Q. I forgot my password, how do I get back in?
A. On the sign-in page, click on "Forgot Your Password?" and fill in the answer to your security question. Your password will be automatically emailed to your user email address.
Q. How much is the credit card deposit?
A. The amount required may vary depending upon the asset(s) in which you show an interest. The minimum amount required for the authorization and hold will be One Thousand Dollars ($1,000).
Q. How do I remove the hold on my credit card following an online auction?
A. If you are a successful bidder, you may be charged for the entire deposit authorization amount for each winning bid (the amount of which will be credited back to you at closing). For example, if the deposit authorization amount is $2500 and you were identified as the winning bidder on 3 separate properties in the same or separate auction events, your credit card may be charged for a total amount of $7500. PLEASE PLAN AND BID ACCORDINGLY! FAILURE TO PERFORM WILL RESULT IN THE BIDDER BEING SUSPENDED FROM FURTHER BIDDING OPPORTUNIITES ON AUCTION.COM. If you are not identified as the winning bidder, the hold will be removed within 24 hours of auction end.
Q. Does my bid have to conform to the minimum bid increment indicated?
A. No. You may place a bid that is higher than the minimum bid pre-populated in the bid amount box, but you may not place a bid that is lower. The bidding increments are programmed in the auction software and may change as the bidding period progresses.
Q. Can I bid on more than one property?
A. Yes. You determine your bidding limits, and as long as you have sufficient funds to pay for each asset in full, you can bid on more than one property. Make sure that the sum of your bids does not exceed your bidding limit.
Q. When does the auction end?
A. The first property closes at the posted end time and the remaining properties will end in numerical order at various intervals. A property will have extended bidding time added if there is a bid placed in the final seconds of the auction to allow all bidders ample time to place competitive bids.
Q. Can I inspect the Property?
A. You are encouraged to perform all due diligence you deem necessary for the properties you wish to purchase. However, prospective bidders may not trespass on the properties, disturb the occupants, or contact the borrowers/homeowners to obtain information about the property.
Q. How does the bidding and buying process work?
A. This is a reserve auction, unless otherwise noted in a specific Property listing, and all Properties have a reserve price ("Reserve Price"), meaning the Seller of each Property can accept or reject any bid and has also established an unpublished, minimum selling price. The starting price is the not the Reserve Price. In order to become the Winning Bidder for a Property, a Bidder must meet or exceed the Reserve Price and have the highest bid, and such highest bid must be accepted by the Seller. The Seller may withdraw a Property at any time prior to the announcement of the completion of the sale by the Auctioneer.
Q. How will I know if I am the Winning Bidder?
A. If bidding on your property ends and you see "SOLD!", along with an indication that you are still the highest bidder, you will receive a winning bidder confirmation via email in very short order. PLEASE CALL OUR AUCTION STAFF AT 800-320-3226 WITHIN 30 MINUTES OF RECEIVEING THIS EMAIL TO REVIEW THE DETAILS OF YOUR WINNING BID. A representative from Auction.com may call you earlier, but it's very important you make contact as soon as possible. After executing the Purchase Agreement electronically, which shall be executed within two (2) hours following the close of the online auction, Winning Bidder will be contacted by Auctioneer, an escrow/closing agent or settlement attorney who will provide them certain additional information pertaining to the closing process.
Q. I received an email stating I am the highest bidder, but no one has contacted me. What do I need to do?
A. You will receive an email when you are the highest bidder on a property. If an auction has ended and you have not received another email indicating you were outbid, you should receive an email indicating you were the winning bidder for this property.
Q. What is the Buyer's Premium?
A. A Buyer's Premium equal to the greater of 5% of the Winning Bid Amount or $2,500 will be added to the Winning Bid Amount to establish the Total Purchase Price. For example, if the Winning Bid Amount is $200,000, then the Buyer's Premium* would be $10,000 (5% of $200,000). The Total Purchase Price is then calculated as the Winning Bid Amount + the Buyer's Premium, or $200,000 + $10,000 = Total Purchase Price of $210,000.