[Chat] [Discussion] Charles Village houses to be auctioned

John Spurrier jfspur at hotmail.com
Sat Nov 12 15:02:05 EST 2005


When houses are sold at auction the sale is considered as-is. Buyers are 
given a short window
of opportunity, often less than an hour, to view the property immediately 
before the auction
takes place. Auctions are much more common with investment properties.

Unlike listing a property with a realtor, the owner of a house being 
auctioned usually does
not pay a sales commission. Instead a buyer's premium of 5 - 10 percent of 
the final bid is
charged to the buyer.

Some might argue that an auction is one way to sell a property for its true 
market value,
however only a small percentage of buyers are comfortable purchasing houses 
without
the benefit of financing and/or inspection contingencies.

As 2005 comes to a close more properties in Charles Village will have 
changed hands than
in any recent year due to a large number of investors selling their 
portfolios. Some are motivated
by the high prices buyers have been willing to pay, while others want to 
sell before they will
be required to be in full compliance with Maryland lead paint laws in 
February 2006.

John

>Does anyone know the circumstances for these auctions?  What leads to an
>auction rather than a conventional sale through a broker?






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