FAQ: Do I need a buyer agent to purchase at a Maryland trustee sale?
Trustee sales are the foreclosure auctions that take place at the county court house in each Maryland county. They are conducted by an auctioneer at the direction of the trustee under the terms of the deed of trust of the defaulted mortgage borrower. There is no provision for a real estate commission to an agent that participates in the transaction.
Each prospective bidder will have to make their own decision as to whether they need to partner with a buyer agent. Most of the successful purchasers at trustee sales are experienced investors or real estate professionals. Access is needed to multiple listing service data and tax records in order to estimate the market value of the property being sold.
In order to estimate the costs of repairs or renovation, the bidder needs that personal knowledge or have an adviser to assist with the calculations. If the property is to be resold after fix up, a listing agent will be needed and the property will need to be prepared and priced to meet current market demands.
If you have the knowledge to compete with highly skilled professionals and have a comprehensive knowledge of the trustee sale process and risks, you might be able to work without a buyer agent. I have participated in hundreds of trustee sales and have obtained advice from other real estate professionals before all of the sales.
I should mention that most real estate professionals have limited experience with trustee sales. It can be a challenge to put together a team that will lead to successful trustee sale transactions.
Dahlia, Kentlands, Spring Flowers IMG_0917 A
Photograph by Roy Kelley, Canon PowerShot G11 Camera
Roy and Dolores Kelley Photographs
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