A Foreclosure auction of astronomical proportions will be held November 6th at 7pm at the Temecula Creek Inn. The website shows 80 homes in and around the Temecula Valley and feature modest Sun City retirement homes to upscale Murrieta and Temecula locations. These homes are currently listed for sale with various real estate agents and are also available for bid now via the website at
The big question on everyones mind is can a real estate deal be had? Well the answer is probably not, after all if any of these homes were a deal they'd have already sold. Lenders like some sellers still don't get the idea that the only way to sell a home these days is to offer an awesome deal.
The way these auctions work is by trying to create a buying frenzy. Hopefully buyers are smarter than to fall for this. The homes may start at seeming very low prices but the fine print often reveals the snag. The seller is not obligated to accept a final bid lower than a pre-determined price that is often not revealed until the auction is over. Very deceptive if you ask me and an insult to intelligent buyers.
When considering a foreclosure as a potential purchase consider these important factors. First, the listing agent has a fiduciary duty to the seller and probably an ongoing relationship. Most lenders discourage their agents from representing the buyer as well...for obvious reasons. NEVER NEVER use the listing agent on a short sale or foreclosure as the buyers agent. Instead find a buyers agent well versed in these two fields of real estate and let that agent negotiate the deal. PLEASE make sure the buyers agent you pick knows what they're doing and you stand a good chance of getting a good price on a nice home. If you use an inexperienced agent then you really have little hope of getting a decent deal. The buyers agent needs to do some hard negotiating and the buyer should be willing to walk away rather than except less than favorable terms. After all THIS IS A BUYERS MARKET!!!!
1 comment:
I attended the last big home auction and actually bought a home. We paid 215K and the appraisal came back at 262K. I feel we received great value for our money. There are good deals to be had. I would advise that you do a careful inspection before you bid. We are happy we bought that way. Also, we did not have to deal with any commissions paid to anyone. Nice perk.
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