We had a wonderful auction this morning. The property had been advertised as available for auction with pre-auction offers considered. During this time, there were 2 offers tendered. One at $225,000 with 5% seller contribution, gas line warranty, home warranty and 5 days inspection clause. The second offer was about the same, but at $250,000. Both offers had about $750 in deposits.
On auction day (11am Eastern today) we had 4 bidders register with $15,000 deposits, all in certified funds, ready to bid utilizing a non-contingent contract with 30 days to close. In addition, the buyer will be responsible for all closing costs including title insurance if they want it.
The final contract price was $253,000 and the auction lasted all of about 2 minutes. I should also mention that it is currently 12:20 and I am on my couch 15 miles from the property. The contracts are done, the $15,000 is already in the trust account.
One of the registered bidders who did not buy was a Realtor specializing in the neighborhood. On the way out of the property both she and the president of the area home owners association commented that the property sold way above their expectations. They also disclosed that they showed up because they thought they could "probably buy it low" at the auction. While disappointed that they didn't get the property, both were thrilled that this sale will help bring up the values of other property in the neighborhood.
The sellers only comment was that he wondered how high the bids would have gone had he let me do all the advertising I had suggested.
I hope everyone else has as good of a day.
Do you have questions about distressed assets, receivership or bankruptcy sales, auctions? Email me at rfk@gryphonusa.com and I'll try to answer it in an upcoming post.
Richard F. Kruse is the President of Columbus, Ohio based Gryphon USA, Ltd. (www.gryphonusa.com). The Gryphon Organization includes Gryphon Asset Management providing receivership and consulting services in the distressed marketplace, United Country Gryphon Realty & Auction Group (www.ucohiorealty.com & www.ucohioauctions.com) providing real estate brokerage and auction services throughout Ohio and OnlineAuctionUSA.com (www.onlineauctionusa.com) providing commercial asset liquidations from the Midwest to East Coast.
United Country Gryphon Realty & Auction Career Opportunities Available. Call 614-885-0020 x 17
Rich, do you have Realtors in OH that you've aligned yourself with?
Just curious...
-James
GA-agent.com
In Ohio you must have a real estate license to auction real estate and my company is a licensed brokerage. I was with a ReMax office before opening my own firm, but didn't really get a lot of referrals from them.
We have no formal alliance with another "traditional" borkerage, but I have worked deals with agents from other brokerages who refer in their clients.
I also list in the "traditional" model and we are in the process of expanding into more consumer type transactions with agents that are soming on board soon.
Rich - congratulations on a fantastic auction!! Way to go!
Linda