If you were driving around Northern Virginia this weekend you couldn't help but notice the Auction signs scattered throughout the area. This weekend was one of the three preview weekends for the big four day auction scheduled March 8-11 to try and sell over 500 properties in Virginia, DC and Maryland.
One of the different twists with this auction is that a number of the properties to be auctioned are NOT in the MLS. Unless you have an agent who knows about this auction you may not be aware of some of the properties available. Check out the auction site and you can view all of the homes available and the locations of the various auctions.
As with any auction if you are interested in a property you should make sure that you go to the one of the next open house weekends on March 1st or 2nd so that you can check out the property you are interested in. Remember that when you are buying a property at auction you are buying the property "as is." There is no home inspection contingency and once the hammer falls on the property you are the legal owner. There is no 3, 5 or 7 day right of rescission so if you are the high bidder and you get buyers remorse your $5000 deposit is at high risk.
Make sure that you understand that winning bids will pay a 5% buyers premium to cover the auction company expenses. Since the banks won't pay them the buyer does! So if your winning bid on a property is $200,000 you will actually be paying $210,000. This isn't an insignificant number so keep it in mind.
This auction is much larger than the one last fall and there are more properties that are being sold under the category of "absolute" so there could be some good deals for those looking for a home to buy and investors looking to pick up a rental property. As with any property make sure you have done your homework and know the prices of the last sales in the neighborhood.
Good luck and remember don't let auction fever lead you to bid more than you can afford or the home is worth!
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As an Associate Broker with RE/MAX Allegiance in Northern Virginia and native of the area I can assist you whether you are buying, selling or renting a home anywhere in Northern Virginia. For more information about the area or my services you can check VaRealEstateTalk or my Northern Virginia website.
Search all homes available in the Northern Virginia area.
As an auctioneer in today's market, I can assure you that few will get caught up in the fever of an auction. Did you know that usually any property can be purchased PRIOR to the auction? If you have a client and they don't want to take a chance, have them make an offer before the auction and you might be surprised at the deal they'll get!