Don't sign that check.....until you CHECK the ABC's of Auctions:
You may have noticed a sign around your neighborhood announcing that an Auction on a particular Home would be taking place on: Date_________, Time__________, Place [ if differs from address]_____________
The interest in Auctions of 'Real Estate' has grown over the years; this sales technique has been sought out by Builders,Sellers & Investors alike. There are Auction companies that are working in this field; they have Web sites where the 'particulars of the property are posted, along with terms conditions & possibly the sales contract.
The Detroit Free Press had 2 excellent articles in the Sunday, Sept. 13, 2009 edition. The author of each is: Mary Ellen Podmolik;
the items can be located: www.freep.com Sunday September 13, 2009 Section G1 & G2.
In her articles, she lists: Tips for Bidders and Types of Auctions.
THANKS go to Mary Ellen Podmolik for her GREAT lesson plans and explanations thereof. 
Quoting: Tips for bidders---[ CAPS generally are my choices ]
...FIRST...go to an Auction as an Observer to get a FEEL for the "Fast-Paced" process.
...READ the auction's 'Terms and Conditions Fact Sheet', [show it to an Attorney prior to the auction.]
Most companies post the documents on their Web Sites [an auction in which YOU will participate]
...If possible, INSPECT the property. Most are sold 'AS-IS'
...RESEARCH the neighborhood and comparable sales so you don't spend more than you should for a
house. [this refers to COMPS. & CMA's that Real Estate Agents use to set Sales price]
...BRING what's required if you are going to bid. Most auctions require bidders to put up a cashier's check
for a certain amount to show their true interest.
Mary Ellen is admonishing: 'TO READ THE SMALL PRINT COMPLETELY'
Smart author is Mary Ellen!
Quoting: Types of auctions---
...ABSOLUTE: The highest bidder wins the auction, regardless of price. The same as an
auction WITHOUT RESERVE.
...WITH RESERVE: An unpublished price the seller has set for the property. It can be different than the
minimum bid. The seller can accept or decline a winning bid within a SPECIFIED amount of
time after the auction.
...SUBJECT TO LENDER APPROVAL: A lender, who either owns a foreclosure or who has financed a
developer, must agree to sell the home for the amount of the winning BID.
NEITHER Chase after the yellow conveyance, NOR Position self at the Office of Principles Taught:
You BE the Driver of that Bus, You Be the PrinciPAL to yourself
...Do YOUR homework.
...Get the HELP of an Attorney and / or Real Estate Agent.
...ESTABLISH your Financial positions.
...ARRANGE for mortgage Approval letter from your financial institution.
...Prepare for the BIDDING Process-some auction houses hold practice sessions.
...CAREFULLY check that All the papers are 'in order' for the purchase.
With all the facts at your disposal; with all your preparation completed; with all your emotions in check---
...GO FOR IT!
Friday: Over and Out
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