Auctions
Auctions
City Government Auctions
If you are looking to purchase property or a car, you may want to take advantage of government seized auctions taking place right in your own city. For a myriad of reasons, stemming from bank repossessions or delinquent property taxes, your city will seize property, which will be resold at a government property auction or a public auto auction. Many times, government seized auctions are ideal places to buy real estate or automobiles below market value.
Foreclosure Auctions
While the municipality may be responsible for a city foreclosure, they typically contract the government property auction to a private company. The private company then holds the foreclosure auction.
Some states, such as California, allow you to view the property before bidding. Other states require you to bid on the property “sight unseen.” There are many online resources to help you access a city foreclosure in your area, and your local newspaper is also an excellent resource for the listing of foreclosure properties. You can also check your city government’s official website for specific dates, times, and locations of upcoming foreclosure auctions.
There are a few tips you want to keep in mind before you engage in a foreclosure auction.
- Review the property before the auction. Check out the neighborhood, the condition of the streets, other homes in the area, and the immediate location of the property.
- Be realistic of the potential costs associated with the property. This includes cosmetic, as well as other major modifications you have planned for the property. Most foreclosure auction homes are sold “as is,” and you do not want to let your renovation costs exceed the property’s worth.
- Decide before the auction your bidding limit. It is easy to get caught up in the moment at a foreclosure auction, but you want to ensure that you are obtaining a good value.
- Read all the terms of the buying agreement before the auction. Be aware of all fees associated with the purchase.
- Arrive at the auction early enough to hear any opening announcements that might contain important information.
If you are looking to purchase a car, consider attending a local seized auto auction. Included in government auctions are federal and state auctions, police impound, FBI, DEA, and IRS auctions. Tax repossessions and drug-raid automobile seizures are also found amongst public auto auctions.
Just like government property auctions, there are many websites promoting seized auto auctions. Many websites claim you can buy automobiles for as little as $500 at auctions. Be aware some states don’t allow their auctions to be publicized on the web. Their intention is to allow local residents to reap most of the benefits as opposed to outsiders. Once again, the local newspaper is a great source to find car auctions in your town. You can also check your city government’s official website to see the dates and times of the next seized auto auction.
If you will be attending a government car auction, keep a few of these tips in mind:
- Make sure you give the vehicle a thorough “once over” inspection. Bring a mechanic or someone knowledgeable about auto mechanics. Take your time and look for the little details that could cost thousands to repair. The big issues are easy to spot, but missed little problems can be costly in the long run.
- Have a firm price in mind before the bidding starts. Don’t let someone else’s emotions spill over into your bidding strategy. Stay focused and calm; it will save you money in the end.
- Check the Kelly Blue Book value on the vehicle you want to bid on. You obviously don’t want to pay more for the car than it’s worth. The whole idea of buying a car at auction is to save money.