Don't Buy Into Bank Forclosure Auctions

I've had the same experience....never a good one.

Auctions can be a great place to pick up properties. Yes, don't fall for hype (which can sometimes take place) but you CAN find deals, especially when banks lower the beginning bids in towns where there aren't a lot of participants. Also, auctions are an AWESOME pace to find cash buyers to add to your buyers list.

Rina

I would like to see people on this forum who can prove me wrong in this market. I have yet to hear one success story coming in from So Cal.

We're being told that this strategy can work anywhere and in any town. Action is louder than words.....show me the proof before you accuse.

I think I mentioned him in a PM. You can read his CA success story in the new book, "Your Town, Your Real Estate Profits".
(and I did change my post. that was a little harsh. )
Almost tempted to come out there and prove it to myself. I'm gonna have to talk to my WA investor. I know he's been doing some investing this year in CA.

Well, I hope you can prove yourself wrong, SoCal. Now that would be a great story.

With all sincerity,

Rina

I have no reason to doubt your abilities. You have internet and fax, I'm sure you can help me out. Find me the deals and we'll make this a win/win all the time.

I'm a cash buyer without nonsense. You find them I'll buy them.

But if all else fails, you're welcome to pick up some great cash-flow props here in WI.

Have a great night SoCal.

Rina

Why are you always challenging others to do the work and find the success where you have failed.

It would seem to me that if you have had bad dealings at auctions or the banks you wold take a step or two back and revise your strategies. Other have had success at it - as I have and Rina as well - but it was thru hard work - lots of it and perserverance.

You keep using the term win/win.... so what are YOU bringing to the table. It seems to me and I may be wrong but you want to rep the benfits but have thrown in the towel on the work. So you find you a bird dogger and they bring you deals then YOU fail to close them - does that then make it their fault.

Will you next post be about hoe BIRDDOGGERS ARE NO GOOD!

You have to stop the madness and accept the responsibility.

I have said this to you before and I am saying it again. Learn you market...revise the strategy and WORK HARDER!

and by the way. I do Trustee Auctions on a regular basis and I leave 8 out of 10 times with exactlywhat I went to get. A GOOD DEAL!

CALIFORNIA is MY MARKET! So you best believe I know it, I work it, I buy it!

I'm not challenging anyone. When I say win/win I mean win/win. Most wholesalers and bird dogs always complain that they can't find qualified buyers. Well I'm offering them a chance to work with a ready and willing CASH buyer. What else can I offer?

By the way, YES it is a win/win situation. These wholesalers are in the business of making money for their hard work and I appreciate that very much. I think there should be more people on this forum like me asking for their help. What fun is it if the wholesaler has to first find the seller and then go look for buyers.That is double the work! I am offering myself as their buyer without effort.

An auction in which the subject property is sold to the highest bidder regardless of the amount of the winning bid. There is no Reserve Price.
Example: Although Amos was disappointed by the amount bid for his house, he had no choice but to sell since the property was sold in an absolute auction.

Tax lein & other private auctions do operate that way. However, bank REO auctions do not follow that rule. They place a undisclosed reserve and if it is not met they just reject the final offer. They again put the property back on the auction block. Sometimes you see the same house being auctioned off again at the end of the same day.

Hello, I'm a new investor in So Cal and I've Been coming across deals that are fixers. If you would like to be on my buyers list I have a few questions for you.
1)how much in repair can you handle?
2)on minor fixers(cosmetic, ect.) what is the minimum amount of equity needed?
3)How often do you buy?
4)Any specific property criteria?

I am looking into an REO auction this week. I did notice that the terms they use seem odd. This is online and only online bidding. Most of the houses have a No Minimum, which their definition of is, it can be rejected if it doesn't meet the reserve amount. Some of the houses are only at $2-6 thousand. One of the nicer ones starting bid is $25,000. They claim they are all rented for the exact same amount of $500 plus utilities, which seems odd. I am interested in bidding on them, supposedly no money is charged for anything unless purchased.

Anyone have any experience doing this type of auction? The company is Wellson Group.

SoCaLREI

You better listen to the Ladies, They know what their talking about.
When I go to the court house I always get the property I went there for.Because I check the list, pick a house and see what the banks Judgements for, then I see what the property is worth.I like to leave $45-50,000. over purchase price to cover expenses. When the bank Rep comes in I ask what is the bank's up to price, just incase there has been any changes.I am in upstate NY, But it should be the same anywhere.

Jim Kendrick
Rochester, N.Y.