Mortgage Calculator

FAQ

Most Commonly Asked Questions

(Click on the ⊕ sign or the question to expand information)
What is an “Absolute Auction”?
An absolute auction is a type of auction where there is no reserve and sale is awarded to the highest bidder. A well advertised Absolute Auction usually brings in a large number of bidders creating more competition! 
What is a “Minimum Bid Auction”?
The Seller will establish and in most cases publish a Minimum Bid. The highest bid above the Minimum bid will win.
What is a “Reserve Auction”
The Seller reserves the right to accept or reject the highest Bid.  The Auctioneer may or my not know what the reserve is. 
What if my property is already listed for sale with a Broker?
We work close together with the Brokerage community. The Broker will still get the listing side of the commission as in a traditional sale and the Auction company will get the “Selling” commission. 
Can a Buyer make an offer before the Auction?
Yes, all offers will be presented to the Seller and the Seller at his option may accept the or reject the offer.
Can a Seller sell the property prior to the Auction?
Yes, if the offer meets the desired terms of the Seller. 
What is the typical escrow period to close the sale?

30-45 Days, unless otherwise specified. 

Can my Real Estate agent participate in commissions?
In most cases agent can participate based on the following terms: Your Agent must register and accompany you to any open house, due diligence inspection and attend the Auction. Cooperative commissions will vary per property.  
What happens if the Buyer backs out of the sale once the bidding is over?
The Buyer will lose the Bidders deposit at auction and if the actual purchase agreement is fully executed the Buyer will lose the entire earnest money deposit. Our team will then follow up with any and all back up bidders and all parties that inquired about the property during the marketing period. 
What if the bids are not high enough to meet the reserve?
Our team will then follow up with any and all bidders and all parties that inquired about the property during the marketing period to renegotiate further interest to write an offer post auction.
What happens if an interested Buyer shows up on Auction day that has not attended the open house or performed due diligence on the property?
This will be an AS-IS sale. Any Buyer who wishes to bid at the Auction will have to sign off on a Bidder package, and may bid at their own risk.

Why Auction?

You can determine and establish the day and time your property will sell at a price you approve!*
Auctions are exciting!
Nothing compares to the competitive bidding environment that the Auction program creates. Buyers who are eager to buy are connected with Sellers who are eager to sell. The fast-paced melodic chant of the experienced, Licensed Auctioneer engages the attention of the buying audience to the offering, creating exciting competition. Buyers are forced to react, leaving no time to negotiate against themselves!
When you have a time sensitive event such as Bankruptcy, Probate, Divorce, or Builder and Bank REO liquidation, and don’t want to go the traditional “listing route” the Auction Process may be for you.
We offer commercial, land, residential and auction services acquisition or disposition of real estate.

Auction Advantages for Sellers

(Click on the ⊕ sign or the question to expand information)
High Exposure
The multi faceted customized advertising will provide the most exposure possible using targeted user profiles.
Accelerated Process, Quick Closing and Sale
Our marketing program usually last 4-6 weeks, allowing sufficient time for advertising to reach the intended market. This time frame will also provide buyers the opportunity to conduct pre-auction on-site inspections. Once the property is under contact, closing typically occurs within 30-45 days, completing the transfer of ownership.
Aggressive Marketing Exposure
Our custom tailored advertising program sets your property apart from other comparable listings offered through traditional means. Condensed marketing periods allow for maximum exposure in national and regional publications, Internet exposure to not only Buyers, but to the Brokerage community through various advertising venues, as well as our own database of existing clients and past customers compiled over 30+ years. Color brochures and due diligence packages insure each property is presented in it most positive light and buyers are well informed on specifics of the property before they commit to bidding. 
Minimize Holding Costs
The cost of holding a property over time can sometimes be burdensome and potentially erode any equity of the asset.  Mortgage interest payments, taxes, depreciation, insurance, maintenance, security, management fees, repairs, assessments, and promotional expenses can wear down on a property owner. Most properties will be sold in an AS-IS sale. Sellers are required to fill out a Nevada state required form called the “Seller’s Real Property Disclosure” form as part of the due diligence package that will be provided in the Bidder’s package. 
Auctions are viewed as “Events”
Our auctions are viewed as “Events”, rather than offerings. In some cases, media cannot resist the story of the “possible wholesale opportunity” an auction can present. These stories are to extreme benefit of our sellers, as they (1) offer legitimacy to the Auction as they are presented as news and not advertisement, and (2) are in some cases, at no cost to the seller.
Plan your Date of Sale
This allows the property owner to plan and strategize  for the future, without the uncertainty of when their property will sell. Potential buyers that may have been lingering in the marketplace are forced to react, as time, date, place, and terms are established, creating a sense of urgency to the marketplace. Being able to plan the day and time of a sale is of the utmost importance.
Predetermined Due Diligence Period
There will be predetermined dates for Buyer Inspections prior to the Auction. A Bidders Package will be compiled by our professionals and will be available and be a requirement for all prospective Bidders to obtain prior to the Auction. All Bidders are encouraged to perform any additional Due Diligence they desire on the subject property prior to the sale. The Buyer is given an opportunity to inspect each property on numerous, pre-determined on-site inspection dates and if desired, accompanied by their inspectors.
Seller Controls the Terms
The Terms of sale will be discussed at length with the Seller and predetermined prior to the auction, providing the Seller complete control of the transaction. This process typically eliminates the typical negotiations associated with conventional transactions. 
As-is Condition
Prospects are provided due diligence materials prior to Auction day. The Buyer is also given an opportunity to inspect each property on numerous, pre-determined on-site inspections individually or accompanied by their inspectors. A strong understanding of condition prior to Auctions leads to confident and informed bidding on Auction Day. 
No Financing Contingency
Most properties are offered as “Cash Only” terms. While buyers are entitled to obtain financing for their purchase, financing will not be used as a contingency of the sale. Eliminating this contingency from the sale guarantees only the most qualified and confident buyers will participate in your Auction.
No Appraisal Contingency
Buyers will have the opportunity to perform their own Appraisals, or Market Valuations and Due Diligence during the inspection period. 
Bidders Deposits/Non Refundable Earnest Money Requirements
Initial Bidder Deposits (to be determined per property) in guaranteed funds on Auction Day are required in order for parties to participate in the bidding. Once the Buyer’s bid is accepted, the Initial Bidder Deposit, which then becomes a Non Refundable Earnest Money Deposit, is then increased to a percentage (to be determined per property) of the Final Purchase Price no more than 2 business days after the auction to make the Total Earnest Money Deposit. The Total Earnest Money Deposits are substantial and insures that bidders are capitalized, serious, and qualified, while deterring the opportunity to default from contract and walk away.
Coordination of Professional Title Companies
Experienced Title and Escrow companies will provide the escrow and title services. They will provide the preliminary title reports as part of the Due Diligence for Bidder review prior to the Auction. Upon the Sale at the Auction, the fully executed Purchase Agreement and Earnest Money Deposit will be deposited into Escrow and the Title Company will provide the Title Insurance and conduct the “Closing”.
Buyers Premium

The “Buyer’s Premium”, will be a predetermined percentage of the High Bid Price to be paid by the Buyer over and above the Purchase Price. The “Buyers Premium” will be paid to Auction Company. All premiums will be advertised in the “Auction Terms of Sale” prior to Auction. 

Seller Cost For Services and Closing Costs
Up-front Marketing and Advertising Cost. Our recommended marketing budget will be asset specific and depending on the market that we need to reach, will be designed to offer maximum Local, National and Global exposure. Our philosophy is that reaching a wide buying audience, in a greater geographic area, gives opportunity for highest and best price for the Seller. In the state of Nevada customary costs and closing cost are; Transfer Taxes, Escrow Fees, Title Insurance Policy, Recording Fees, HOA Documentation Fees and Broker commissions, etc. In some cases the Seller will pay the normal “Listing” commission as well as the Buyer paying the “Buyer’s Premium” as the Buyer’s Premium does not affect the Seller’s net bottom line.
Follow up with Prospects
All inquiries received from our massive marketing campaigns will be responded to from a member of the Auction Team, who are Nevada Real Estate Licensees with vast experience with the Auction process. Our Auction Team will answer all questions about the property, highlighting all prominent features of the property, as well as explain the Auction Process, and pre qualify the potential Buyer. The Team will also provide detailed feedback to the Seller pre auction.

Auction Advantages for Buyers

  • Buyers get to name the price they are willing to pay at the auction in a live real time auction and will know immediately if they are the winning bidder.  
  • Buyer also get to witness live “competing offers” that normally in a traditional sale are kept confidential.  This also will determine the marketplace’s real response to the desirability of the property, giving the ultimate Buyer confidence in their purchase.  
  • The terms of the sale are established and advertised in advance by the Seller. Buyer is fully aware of the terms prior to the auction. If the terms are met, the high bidder wins the property and escrow will close within 30-45 days, unless otherwise negotiated.