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When/Where is the auction? |
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What are the advantages of buying real estate at an auction? |
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Can anyone attend a VHA real estate auction? |
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I've never attended a real estate auction. How does the auction work? |
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How do I prepare for the auction? |
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Should I inspect the property prior to bidding during the auction? |
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What do I need to bid on properties during the auction ? |
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Can I purchase more than one property at this auction? |
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Do I need to register to bid at the auction? |
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Should I get pre-qualified before the auction? |
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Can I use my real estate agent or broker? |
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How do I bid during the auction? |
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What happens if I have the winning bid? |
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What is the reserve price? |
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Is the amount I bid the total price I will pay? |
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What is the Earnest Money Deposit? |
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How do I pay the Earnest Money Deposit? |
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Is my Earnest Money Deposit refundable if I change my mind after the sale and decide not to buy the property? |
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What if I change my mind? Can I cancel the transaction after the fact? |
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How do I get financed if Im the winning bidder? |
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Can I use my own lender? |
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What are the closing costs? |
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Do you publish auction results? |
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Are there any back taxes or liens against the foreclosure properties? |
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Is there a redemption period in which the former owner can make good on their debt and take the property back? |
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Can I choose my own Title Company? |
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When will my purchase close? When will I receive title to any property I may purchase? |
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With whom do I speak if I don't understand the Purchase Contract? |
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When/Where is the auction? |
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The auction is an Internet only auction, which runs from Monday, September 14th at 12:01 a.m. through Wednesday, September 30th at 5:00 p.m. EDT |
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What are the advantages of buying real estate at an auction? |
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In todays market, lenders have a large number of foreclosure properties. Instead of waiting months to sell these properties one at a time and paying the carrying costs, mortgage lenders turn to Value Home Auctions to sell large numbers of properties during a single event. At VHA auctions, Sellers are motivated to sell and offer you the opportunity to purchase single family homes, condominiums and town homes at extremely competitive auction prices. Buying real estate at auction is easy! The auction process eliminates lengthy negotiations, and provides for a speedy purchase and closing. For all of these reasons, buyers and sellers across the United States have embraced home auctions as one of the easiest and most efficient ways to buy and sell real estate today. |
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Can anyone attend a VHA real estate auction? |
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Yes. All VHA auctions, including this Internet -only auction are open to the public. No auction experience is needed. Whether you are a first time participant or an auction veteran, see for yourself how simple it is to buy properties at auction. Please visit our website and view our video Auctions Made Easy! Please contact us with any questions you may have. We will be happy to assist you in any way we can! |
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I've never attended a real estate auction. How does the auction work? |
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Buying real estate at auction is a simple process. However, it is important for you to be informed and prepared prior to auction day. Please visit our website and view our video about the online auction process. You will need to register for the auction, and should pre-qualify for your purchase prior to bidding on a property. By bidding during our auction, you agree to the Auction Terms and Conditions, which can be found on our website. You should also inspect any property prior to bidding during one of the scheduled open house dates. Our website has a video which explains the the online auction process, and online bidding. Would you like me to register and pre-qualify you now? It only takes a couple of minutes. |
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How do I prepare for the auction? |
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Review the properties for auction on our website. Be sure to read all of the property disclosures on the property details page, as well as the auction terms and conditions and the purchase contract on our website. Register for the auction and pre-qualify for a home loan and find out how much you can afford. Then attend the scheduled Open Houses and thoroughly inspect all homes you are interested in bidding on. Would you like me to register and prequalify you now? It only takes a couple of minutes. |
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Should I inspect the property prior to bidding during the auction? |
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Yes. We recommend that you visit and inspect each property that you are interested in bidding on prior to bidding on that property, as well as any property information and disclosure documents pertaining to that property, so that you can make an informed decision. We also encourage you to bring a licensed and bonded inspector to the scheduled Open House to complete an inspection. By registering and bidding during the auction, you are representing that you have inspected the property and have reviewed and accepted all relevant property information necessary to make an informed decision. The properties will not be open for inspection after the auction, and there is no inspection contingency on any property you buy at auction. |
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What do I need to bid on properties during the auction ? |
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If you plan to bid during the auction, you must complete a credit card authorization of between $2,500 and $15,000, depending upon the bidding limit you wish to set for yourself. This is ONLY an authorization, and it will be removed within 24 hours if you are not the winning bidder at the auction. If you are the winning bidder, it will be removed upon receipt of the earnest money deposit. You can see all of the requirements for bidding and the bidding limits and authorization amounts on our website, valuehomeauctions.com |
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Can I purchase more than one property at this auction? |
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Yes. You may bid on numerous properties, up to the bid limit you set for yourself at the time you establish your credit card authorization as a deposit. If you are the winning bidder on more than one property during the auction, for each property after the first you will be required to make an earnest money deposit equal to 15% of the Total Purchase Price by wire transfer immediately after the close of the auction. |
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Do I need to register to bid at the auction? |
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Yes. Registering is free and easy! I can take care of it right now by asking you a few simple questions. |
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Should I get pre-qualified before the auction? |
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Yes. Reviewing your financing options prior to selecting a home to bid on is important. In order to bid with confidence, you should be pre-qualified for any financing you will need before the auction. VHA has designated auction lenders that can pre-qualify you now. It only takes about five minutes. I can connect you to a live agent right now. |
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Can I use my real estate agent or broker? |
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Yes. Your real estate broker or agent may represent you during the auction. However, you are not required to have a broker or agent in order to bid during the auction. VHA offers 1% of the winning bid amount as compensation to registered agents or brokers. However, in order to qualify for the compensation, your agent must Pre-Register with VHA as a Registered Broker and identify you as a client prior to you placing your bid, and - Execute the Purchase Contract as a broker. |
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How do I bid during the auction? |
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It will be an exciting event! Prior to bidding, you will be required to register and sign the Auction Terms and Conditions, which can be found on our website, valuehomeauctions.com. You should also thoroughly review all property disclosures and the purchase contract on our website prior to placing a bid. To bid, simply click on the Bid Now button next to the property that you are interested in purchasing and enter the bid amount. You will be asked to confirm the bid amount. If you provided us with your email address, you will receive an email confirmation of your bid as well as any subsequent bids that are higher than your bid. Its just that simple! Please remember that the greater of 5% of the Winning Bid Amount or $2,500 will be added to the Winning Bid Amount to establish your total purchase price. Please take into account this 5% buyers premium before placing a bid on a property. |
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What happens if I have the winning bid? |
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The winning bid is not a final sale or a binding contract of the property but an OFFER by you as the bidder to purchase the property from the seller. If you are the Winning Bidder, congratulations! You will receive an email with the purchase contract, escrow instructions, earnest money deposit forms and certain other documents. We will also contact you within 24 hours to help you complete the documents and determine the amount of your earnest money deposit. If you purchase 1 property, your earnest money deposit will be a wire equal to 5% of the total purchase price. For example, if the total purchase price is $200,000, you will wire into escrow an earnest money deposit of $10,000, or 5% of the total purchase price. If you purchase more than 1 property, your earnest money deposit will equal 15% of the total purchase price. Finally, we require that you complete the forms and send in the earnest money deposit within 24 hours of the time we initially contact you. |
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What is the reserve price? |
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A reserve price is an unpublished minimum selling price for each property set by the seller. if the winning bid for a particular property falls below the reserve price for that property, the property is Sold subject to confirmation. In such cases, the seller has the right to accept or reject the winning bid. |
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Is the amount I bid the total price I will pay? |
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No. A 5% Buyers Premium will be added to your bid. The 5% Buyers Premium is paid by the buyer and added to the winning bid to determine the final contract price. For example, if the Winning Bid Amount is $100,000, then the Buyers Premium is $5,000 and the Total Purchase Price is $105,000. Visit our website, valuehomeauctions.com for all of the details. |
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What is the Earnest Money Deposit? |
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The Earnest Money Deposit is the 5% the winning bidder is required to deposit with the closing agent at the auction. |
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How do I pay the Earnest Money Deposit? |
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The first $5,000 of the Earnest Money Deposit must be paid by cashiers check made out to yourself or cash. The remaining balance can be paid by personal check or cash. |
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Is my Earnest Money Deposit refundable if I change my mind after the sale and decide not to buy the property? |
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No. If a buyer does not close for any reason on or before the closing date, the Earnest Money Deposit may be forfeited. |
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What if I change my mind? Can I cancel the transaction after the fact? |
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No. Once you are deemed the winning bidder, and you and the seller have both signed the purchase contract, you have agreed to purchase the property. There is no rescission or cooling off period. It is important for you to conduct all of your inspections and review the auction terms and conditions and the purchase contract on our website before placing a bid during the auction. |
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How do I get financed if Im the winning bidder? |
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VHA has designated auction lenders that can provide financing to most bidders. We recommend that you pre-qualify prior to bidding during the auction. If you do not pre-qualify before bidding, one of VHAs designated auction lenders will contact you to prequalify you during the auction. Loan rates offered by our designated auction lenders are competitive. Would you like to pre-qualify with one of our designated auction lenders? It only takes about five minutes, and I can connect you to a live agent right now. |
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Can I use my own lender? |
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Yes. You can use your own lender and get a pre-approval letter, not a pre-qualification, from them. Your purchase at auction is not contingent upon you obtaining financing. If you fail to obtain loan approval and close the transaction on time, you will forfeit your Earnest Money Deposit in accordance with your purchase contract. We encourage you to utilize one of our designated lenders due to their experience as national lenders that specialize in residential real estate and their ability to provide financing to a variety of consumers--from first-time homebuyers to sophisticated investors. Would you like to pre-qualify with one of our designated lenders? It only takes about five minutes, and I can connect you to a live agent right now. |
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What are the closing costs? |
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Closing costs include standard and customary charges for the county in which the property is located, which may include escrow fees, recording fees, prorated taxes, lenders title insurance premiums and document processing fees if you are getting a loan, document transfer taxes, and prorated homeowners association dues. |
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Do you publish auction results? |
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No. Once the property is sold, you can obtain the information from the County Recorders Office. |
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Are there any back taxes or liens against the foreclosure properties? |
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No. There are no back taxes or liens against the properties. The seller will convey the property to you by grant or warranty deed, and will provide you with a standard Owners Title Insurance Policy in the amount of your purchase price as part of your transaction. |
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Is there a redemption period in which the former owner can make good on their debt and take the property back? |
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No. There is no redemption period. |
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Can I choose my own Title Company? |
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The Seller issue an owners title policy to you free of charge issued by a title company it has selected. You may always choose your own title company, however, if you choose a different title company, you will have to pay for the owners title policy. If you are using financing to make your purchase, you may choose the title company issuing the lenders title policy, which you, as borrower, will be responsible for. |
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When will my purchase close? When will I receive title to any property I may purchase? |
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The closing is expected to occur within 30 days of the auction. A title policy would be issued at closing. |
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With whom do I speak if I don't understand the Purchase Contract? |
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It is very important for auction buyers to be educated and informed regarding the real estate auction process. Make sure all of your questions and concerns are answered before you attend an auction. A sample Purchase Contract is available on our website, valuehomeauctions.com. Please feel free to have your legal advisor review the contract prior to the sale. However, the seller does not permit additions or changes to the contract. |
