As if the foreclosure market wasn't enough to keep up with, buyers are now playing their hand at taking a chance in the Auction market. This latest event on Saturday, February 7th was hosted by Hudson & Marshall at the Hilton - McLean Tysons Corner. Buyers looking to bid on a house were given two chances to view it at scheduled open houses the week before. On the day of the auction, buyers were told they would pay the following if participating:
1) $5,000 Cashier's Check - used for Down Payment and
2) 5% Buyer's Premium - to be added to their final bid amount to equal their actual Final Sale Price.
In addition, potential buyers needed to bring with them to the auction:
1) Short list of homes you want to bid on (with property numbers)
2) Your pre-qualified price range
3) Picture I.D.
4) Social Security Number
5) Your pre-registered Real Estate Agent (Commission paid for by seller)
6) For those taking title in a company name or trust - bring articles of incorporation, trust
documentation or other proof of signing authority.
Now, the key to doing this and feeling comfortable with the process, is to come totally prepared. If you have a real estate agent - call them up and ask them to go with you. Just make sure to give them plenty of notice (the next auction is March 14th). They can run comparables on the homes you like, so you know what your bidding cap should be. To represent you at the auction, they must register 48 hours ahead of time on-line as your representative. We work with many investors at these auctions and provide them with comparables, cash flow scenarios, estimated costs of fix ups, etc.. before the auction date so they can make the best decision. We would love to work with you on an auction property and can answer all of your questions about the process. Remember it doesn't cost you anything to have representation - you pay the 5% buyer premium whether or not you have an agent. Go to http://www.ushomeauction.com/faqs.php for more answers to your questions or give us a call at 703-674-1777.
For those of you curious about how much these auction homes are selling for, I wrote a few of the sales prices down on Feb 7th and crunched them against the most recent list price and the amount they sold for in the height of the real estate market. It's an interesting break down to check out:
Prince William County
2775 Marsala Ct #21C6, Woodbridge, VA 22192
TH - 2bd/2ba
Height of Market: $216,000 in 2006
Current List Price: $104,450
Final Sale Price: $52,500 (50% below list price)
16856 Miranda Ln, Woodbridge, VA 22191
TH - 4bd/3.5ba
Height of Market: $360,000 in 2006
Current List Price: $205,000
Final Sale Price: $140,000 (32% below list price)
16709 Capon Tree Ln, Woodbridge, VA 22191
TH - 3bd/2ba
Height of Market: $305,000 in 2005
Current List Price: $176,900
Final Sale Price: $112,000 (37% below list price)
12687 Greenhall Dr., Woodbridge, VA 22192
SFH - 3bd/1ba
Height of Market: $372,000 in 2005
Current List Price: $149,900
Final Sale Price: $92,000 (39% below list price)
14377 Shetland Ct., Woodbridge, VA 22193
SFH - 3bd/2.5ba
Height of Market: $392,000 in 2006
Current List Price: $139,000
Final Sale Price: $96,000 (31% below list price)
7915 Manassas Dr, Manassas, VA 20111
SFH - 3bd/1ba
Height of Sale: $232,887 in 2008
Current List Price: $105,900
Final Sale Price: $76,000 (28% below list price)
7521 Quail Run Ln., Manassas, VA 20109
TH - 3bd/1ba
Height of Market: $292,000 in 2005
Current List Price: $84,900
Final Sale Price: $68,000 (20% below list price)
18415 Woodland Dr, Triangle, VA 22172
SFH - 4bd/2ba
Height of Market: $280,000 in 2004
Current List Price: $110,500
Final Sale Price: $75,000 (32% below list price)
12916 Hunting Cove Place, Bristow, VA 20136
SFH - 4bd/ba
Height of Market: $558,000 in 2006
Current List Price: $331,900
Final Sale Price: $222,000 (33% below list price)
Fairfax County
1808 Old Meadow Rd #771, McLean, VA 22102
Condo - 1bd/1ba
Height of Market: $285,000 in 2005
Current List Price: $188,000
Final Sale Price: $175,000 (7% below list price)
7917 San Leandro Place #119D, Alexandria, VA 22309
TH - 2bd/1.5ba
Height of Market: $215,000 in 2005
Current List Price: $63,900
Final Sale Price: $48,000 (25% below list price)
4417 Longworth Square, Alexandria, VA 22309
TH - 4bd/2.5ba
Height of Market: $410,000 in 2005
Current List Price: $265,000
Final Sale Price: $150,000 (43% below list price)
4133 Old Columbia Pike, Annandale, VA 22003
SFH - 5bd/2ba
Height of Market: $325,000 in 2004
Current List Price: $269,900
Final Sale Price: $210,000 (22% below list price)
5955 Joffa Place, Springfield, VA 22150
SFH - 3bd/2ba
Height of Market: $507,500 in 2006
Current List Price: $315,000
Final Sale Price: $234,000 (26% below list price)
7745 Matisse Way, Springfield, VA 22153
TH - 3bd/1ba
Height of Market: $339,900 in 2006
Current List Price: $140,000
Final Sale Price: $94,000 (33% below list price)
Washington D.C.
4242 Nash St. SE, Washington, DC 20020
TH - 2bd/1ba
Height of Market: $225,000 in 2005
Current List Price: $129,900
Final Sale Price: $69,000 (47% below list price)
1311 Florida Ave. NE, Washington, DC 20002
Semi Detached - 3bd/2ba
Height of Sale: $325,000 in 1999
Current List Price: $214,900
Final Sale Price: $117,500 (45% below list price)
Prince George County
5900 Suitland Rd, Suitland, MD 20746
SFH - 4bd/2ba
Height of Market: $345,000 in 2006
Current List Price: $199,000
Final Sale Price: $122,000 (39% below list price)
4512 Broad Blvd., Beltsville, MD 20705
SFH - 3bd/2ba
Height of Sale: $266,700 in 2007
Current List Price: $169,900
Final Sale Price: $96,000 (44% below list price)
6007 Toby Dr, Temple Hills, MD 20748
SFH - 4bd/2ba
Height of Market: $333,000 in 2005
Current List Price: $149,900
Final Sale Price: $80,000 (47% below list price)
Another auction is scheduled for March 14th in DC through REDC and will feature some of our listings that have been listed for some time or had contracts fall through at the last minute. What's everyone else experiencing when it comes to losing listings to auction houses?
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