What criteria to look for when searching upcoming auctions ?


#1

Hello, My Name is Irene, I just attended an investment seminar where Sean was the speaker, it was a wealth of information. I am so greatful I have found his website here, thank you for all you do.
I have been looking to buy properties at Auction ,but have been a little hesitant, as I am new to this auction business. ( I am not new to Realestate, I have had rental property before and I have been in the lending business for a few years)
My question to Sean and anybody else out there is… What is the main criteria to look for when searching for upcoming auctions, I got some good areas picked, as I can go for only for about $100K, and hope to do a few in the next few months. However the published bids on most I am looking at is $200-300K…
It takes a lot of time to drive by each property , the pictures on the maps only show a birde eye view.
So what do you look for to hopefully get a quick resale…
Thank you so much for all your insights.


#2

Hi Irene - first please make sure you are aware of all the risks of buying at auction. With that said, the key thing to understand is that most opening bids will be discounted 30-50% below the published bid. The primary problem is that these bids typically aren’t posted until the morning of the sale leaving you little time to do research. So a couple of suggestions: 1) watch the sales each day and pay attention to which lenders discount deeply in the areas you are interested in, then focus on upcoming sales by those lenders, 2) add opening bid to your list view (click the customize button above and to the right of the list view to add columns) and check for opening bids in the days before the sale, 3) put in place whatever systems you can to do last minute research so you can act fast if a new opening bid pops us hours before the sale.