Also, from my experience the auction prices are posted lower than market price but end up around the same amount.
If you want a really good deal you need to get connect with a Realtor, get pre-approved and be prepared when the right house comes on the market. The inventory at the auction is usually houses that didn't sell the "regular" way so they have defects, challenges and problems.
You can come with your agent to the auction (so that you know the right prices for homes you are bidding on, and so you stop when it's time :) when things get too exciting).
But, you don't have to.
Many auction companies charge 5% on top of your price on their services, and the agent gets paid by them - usually 2%.
Hope this helps,
Beachfront Realty, Inc.
Let me know if I can help you in any way!
Joan Wilson (Realtor, SRES, Ecobroker, Certified REO, HAFA, and Short Sale Specialist)
Prudential California Realty
Direct Phone: 760-757-3468
800-975-7481 x 111
License # 01341483
Find Your Dream Home:
The correct action is to let a professional to represent you. When you are buying a property the seller will pay the commissions. This is regardless of if you are represented by a real estate professional or not. The net cost will be the same to you.
Now the question is this. Do you mind having professional help for free?
Trustee Sale - No down payment or deposit, you need the full pruchase price in the form of a cashier's check (or cash, but please don't)
Private Auction - Buyer can secure financing, each company is different as far as down payment or other fees, and agents are usually paid if they're registered. Check their web sites, they'll tell you exactly what you need to accompany a buyer.
A buyer doesn't have to be accompanied by an agent at either type of auction.
It depends on the type of auction. Please know that auctions are filled with savvy investors who do this for a living. Representation by an agent is not required.
We would recommend that you find someone with experience and go with them to watch a few times to have a better understanding of what happens and how they work.
Best to you,
Mark & Kari Shea
Shea Real Estate
Serving Greater San Diego
If you're talking about an auction on the courthouse steps you don't need an agent, but if you want representation you will have to pay them for it. Fees are negotiable, and I would suggest you deal with an agent/broker who knows about these kinds of deals. They're risky and you can get badly burned if you don't know what you're doing