This weekend the Hynes Convention Center hosted a mega auction for foreclosed properties. Many of these had already been on the market through conventional brokerages and failed to sell. We talked about attending the auction, but in the end we had some clients to show around and couldn't make the time for it.
Reports from friends and associates that attended included that it was a very emotional auction. Bidders were upping the prices without temper and some properties actually sold for more than they were listed at previously, simply because they fell for the pitch and drama of the event.
Everyone knows someone who got a good deal at foreclosure and auction, either recently or the last time the market was down. What many fail to realize is the keys to getting a good deal at auction is knowledge and discipline.
Knowing what the property condition is, if there are and zoning or municipal issues etc… is critical. You would be remiss to pay too much for a property that is for example undevelopable, in a FEMA flood plain or so shabby that a lender won't finance it. The other key is discipline. Set a price that you are willing to pay, and do not budge. Let someone else overpay. In this market there are more foreclosures and auctions to come.
See the Boston.com article .
No comments:
Post a Comment