what does it mean Foreclosure(Auction)?

Asked by Amikumar, Wilmette, IL Tue Feb 26, 2013

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Michele Wilson’s answer
Michele Wils…, Agent, Lake Forest, IL
Tue Feb 26, 2013
A foreclosure /auction is really you bidding aginst the bank that holds the mortgage. Many times a property listed for "auction" has a reserve price that must be met for the property to be sold.
There has been some good advice in the nswers you received. I will add that you should work with a professional Realtor when you are doing any kind of real estate transaction.
0 votes
Dayle Lively, Agent, Winnetka, IL
Tue Feb 26, 2013
Hello,

You have read the answers below regarding the process of a foreclosure/auction. However, it's also helpful to know that foreclosure properties are usually sold "as is." meaning that no repairs or requests for repairs or credits will be given to the buyer, and no survey is provided. Taxes are usually pro-rated at 100% of the most recent bill, and usually proof of funds is required.

Foreclosure/auction properties can be good opportunities, but it's important to be knowledgeable about the property values in the area. A buyer should also have flexibility in terms of time, as in these transactions, they have less control than in a regular sale.

good luck.

Dayle Lively
0 votes
Thanks for the reply. So it means we will not be able to see the property or even get the address or pics of that property. How come then i can bid on that property with out knowing the address and location of that property.
Flag Tue Feb 26, 2013
Bryce Fuller, Agent, Glenview, IL
Tue Feb 26, 2013
A foreclosure (auction) means that the sheriff has an auction to "sell" the property for the amount owed on the mortgage. You may attend this event and bid on the property. In this environment, the banks most like do NOT sell the property because typically the home is under water. (more is owed than it is worth) so this is the means by which a bank takes the home into ownership. The owner of the property has 30 days after an auction to satisfy the loan due before the bank takes title to the property.
0 votes
Noah Seidenb…, Agent, Evanston, IL
Tue Feb 26, 2013
It means that the bank now owns the property and rather then have a realtor list it they want to have an auction. You are better off having a realtor help you with this process as auctions can cause problems such as not knowing the true value of the property
0 votes
Somehow,would it be possible to see the detail listing with the photos and adrress of the property.
Flag Tue Feb 26, 2013
Arlyn Tratt, Agent, Skokie, IL
Tue Feb 26, 2013
A foreclosure auction can be on a website such as Hubzu as well as other auction sites.
These homes are typically also listed on the MLS as well.

Another kind of auction is a Judicial Sales auction where you would typically need 25% down and the balance due in 24 hrs.

Thanks and good luck!
0 votes
Thanks for the reply.But i am not able to see the photos and address on the website ,only the street name is availaible.

how can i find the adress and the photos of these type of properties?
Flag Tue Feb 26, 2013
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