|
ITEM UNDER CONSIDERATION |
SHERIFF'S SALE |
R/E AUCTION USING LICENSED R/E FIRM |
|
PARTY INITIATING AUCTION SALE |
CREDITOR.
Involuntary action resulting from 1st mortgage holder
having filed suit on a note and culminating in Sheriff's
Sale.
|
SELLER. Voluntary
action taken by a motivated seller. |
|
INSPECTION PERIOD |
NONE!!!!!!!! Nobody
has the legal authority to allow an inspection since the
title remains in the name of the defaulting borrower (who
certainly isn't going to grant such access)! This is
one reason bids at Sheriff's sales tend to be low (because
buyers buy a "pig in a poke" in that they can't inspect a
property's interior). |
YES. Typically an
open-house inspection 10-12 days before auction and, in the
case of on-site auctions (see next row), one hour before the
auction. |
|
PLACE OF SALE |
Courthouse / Clerk of Court lobby/steps.
Here are photos of a live EBRP Sheriff's Sale
auction (click thumbnails to enlarge):
(notice how the guy in the
light green shirt in the 2nd photo is REALLY struggling to
hear!!) |
Generally on-site. Here's a photo (click thumbnail to
enlarge):
 .
May be at hotel for multi-property auction. Here's a
photo (click thumbnail to enlarge):
 |
|
QUALITY OF SOUND SYSTEM |
ABYSMAL. Noise
levels of bystanders and passersby often make it
EXTREMELY difficult to hear people yelling out bids.
It's a fairly chaotic event. |
TOP NOTCH. An
auctioneer's sound system is designed to be powerful to
where everyone hears the ONE person calling out bids:
THE AUCTIONEER! |
|
LEVEL OF ADVERTISING |
The MINIMUM legal ad
required by law. Not very noticeable in the newspaper. |
EXTENSIVE.
Click Here to See First-Hand What the
Advertising for an ASF R/E Auction Is LIke. |
|
PARTY TYPICALLY WINNING AUCTION |
FIRST
MORTGAGE HOLDER. Sheriff's sale is generally a mere
formality for a creditor to obtain legal title to the
property. Once title is obtained, the
creditor-turned-owner then sells the property (either on its
own or through a R/E agent). It is DEFINITELY the
exception, rather than the rule, for a member of the public
to end up high bidder at Sheriff's Sale, but it does happen. |
Whoever bids highest, and at any ASF
auction, NEITHER we nor the owner is allowed to bid!! |
|
TIMING OF PAYMENT FOR PROPERTY |
Appx.
4 hours after auction, and ALL MUST BE certified funds. |
10% deposit on auction day (ASF doesn't
require certified funds), balance due in 30 days. |
|
QUALITY OF TITLE ASSURANCE |
ZERO!! Sheriff sells the title he has!
Foreclosure does "flush" junior liens and mortgages but does
nothing to cure other title defects (e.g. prior
heirship issues which have gone undetected). In short,
if the Sheriff has any problem with the title he has on a
property and you purchase it, YOU inherit his title problem
with no recourse against anyone. |
TITLE INSURANCE, the
highest form of title assurance one can obtain.
See our
Quality of Title Assurance
Page. |
|
REGISTRATION REQUIREMENT |
NO, but you must step up with photo ID once
declared the winning bidder. |
YES. |
