11-08-2012 10:24 PM
I am considering bidding at a Auction.com trustee sale in San Diego, CA on a property. I did prelim title search things looked fine .Title rep told the junior lien will be wiped out because it was foreclosed by senior lien. It has some taxes not paid but otherwise nothing else was found on prelim tittle search.
I came across with many negative reviews on Auction.com.
Does anybody have experience of buying at live auction of Auction.com? Are they legit? It is scary to hand a cashiers' check and read all scary reviews about the company. Any advise/experience on AUction.com trustee sales will be appreciated.
11-16-2012 09:30 AM
Trustee sales are all cash and there rarely if ever is a time to tour the property or inspect it prior to purchase. You get what you get even if the previous owner poured quick concrete down the drains and toilets. Or if the inside is trashed. Or the HOA is demanding three years of back fees before they agree to the property transfer. Or that there is a million dollar HOA special assesment due to a lawsuit they lost.
You may be lucky or you may get a nightmare.
11-16-2012 12:55 PM
My father in law purchased a condo in South Orange county through them and had no problems. He did catch some heat from the residents when they saw what he purchased the property for though.
If you are trying to buy in san Diego there are not many choices out there as you probably already know. If you are like me you are looking for a starter home which usually tend to be classified as a investment properties also. We had an agent tell us recently we were not allowed to see a property unitl we submitted a bid. In short, it might not be the safest option but it might be the only option in this market.
11-26-2012 09:23 AM
Hi Sam 2012,
My name is Peter Chevalier, and I am the Director of Customer Service at Auction.com.
With regards to your questions about trustee sales, I just wanted to share with you some background on our approach to trustee sales to help you decide if it’s a good option for you. Auction.com is reinventing trustee sales by taking them off of the courthouse steps and into a professional auction setting.
The Top 5 benefits of an Auction.com Trustee Sale:
1) Thousands of properties available daily
2) Easily accessible online property and title information
3) Higher percentage of properties actually sold to bidders
4) Organized,professional auctions conducted by licensed auctioneers
5) Fair and transparent bidding
Our low starting bids and reserve prices are as agreed upon by Auction.com and the seller, which in this case is the bank. Like any real estate transaction, you should do your due diligence on the property before you bid and fully understand the responsibilities and nuances of buying a home at a trustee sale. You can find out more about the Auction.com Trustee Sale process here: http://www.auction.com/auction-faqs/foreclosure.ph
We are the largest online marketplace in the country selling thousands of homes every day, and we look forward to helping you in any way we can as you look to invest in buying your next home.
If you have any further questions, please don’t hesitate to contact me at 800-793-6107 or email me directly at email@example.com.
Peter Chevalier, Auction.com
03-02-2013 05:30 PM
Don't bother with auction.com. Trustee sales at convention centers? Seems like 85%-90% of the houses listed never go to aution. Their online auctions are worse: people regularly pay 20%-35% above market (over what you would pay today) for even occupied homes where you have no way of knowing the condition of the home, terms of any prior lease agreement and what the eviction costs will ultimately be, etc. Also, you must pay a 5% buyers premium. For investment properties, I've only seen between 2 and 5 online auctions in any givin county (!) at a time. Who's buying the houses? I don't know, but I'm going to do some research after a few houses close. I strongly suspect bid rigging.