Buyer FAQs

Buyer FAQs

 

Why is the property being sold this way instead of using the traditional listing method?

Some owners require an Accelerated Sale for various reasons including: foreclosure, divorce, partnership breakup, bankruptcy, bank REO, estate settlement, job transfer, surplus disposal or corporate liquidation. Our clients usually need to know when their property will be sold.

 

How do I bid online?

An online event is probably the easiest way to buy real estate. Imagine “point & click” real estate sales. On our bidding platform, you register with a credit card and your contact info. The credit card is not charged but utilized to verify that you have an account only.  During registration, you will choose how the platform will contact you, via e-mail and/or text.

When you are ready to bid, you may place a “Max” bid or just place one bid on the asset. A “Max” bid allows you to enter your limit or max and the platform will bid for you up to your max limit. Of course, the system will only bid for you in the pre-determined bid increments displayed on the site. The “Max” bid is the best method as the first Max bid will “own” the space until you are “outbid”. Once you are outbid, the system will notify you of the “outbid” situation.

When you are the winning bidder, the bidding platform will send you a congratulatory e-mail with additional instructions. Our office will e-mail an “electronic” contract for your signature that you may sign on your smart phone, tablet, laptop or desktop. In addition, we will ask you to wire transfer, hand deliver or mail a deposit in certified funds.

How To Register and Bid 

What is an Auto or Max Bid?

The online bidding system allows for an “automatic incremental bid” where the bidder enters the bidder’s maximum amount but only bids up to the next nearest amount. This keeps a bidder from having to re-bid after another bidder submits bids. The bidding platform gives priority to Auto | Max bids. For example, if Bidder "A" has entered a max bid of $50,000 and Bidder "B" enters a single bid of $50,000, Bidder "A's" Max bid in the event of a tie will prevail. The system will only bid for you up to the next increment. You may wish to consider utilizing an Auto | Max bid

What is a Soft or Dynamic Close?

If a bid is received within the final 5 minutes of a property closing, the auction will automatically extend for another 10 minutes and will continue to do so until all bidding within a given 5-minute period ceases. This is the online version of a live auctioneer’s “Going Once, Going Twice…”

How does a real estate agent earn a commission?

Visit www.SVNGilmoreAuction.com, roll your cursor over “Why Buy or Sell?”, click “Real Estate Agents/Brokers”. Download the pdf form, follow the instructions, have your client and your broker sign and email it to David.gilmore@svn.com a minimum of 2 days prior to the end of bidding. If your client buys, you will receive a commission check at closing.

Can I bid on my phone?

Yes. Download our app, SVN Auctions, from the App Store or Google Play to your smartphone. The same amazing features that are packed into our bidding platform is now in the palm of your hands! With real-time updates, notifications, autobids & maxbids, you will be able to bid online at ANYTIME, ANYWHERE with your phone.

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What is a Buyer's Premium?

The Buyer’s Premium is added to the winning bid price to arrive at the final contract price. You can think of the BP as similar to the “tax” you pay at the grocery store. For example, if the winning bid is $100,000 on a property then you would add the BP of ten percent or $10,000 for a total contract price of $110,000. Or, if the BP is five percent then you would add $5000 for a total of $105,000. If there is a BP, then please consider this and stop bidding at a lower price to stay within your range.

 

What about title? Am I buying a property with back taxes, liens or title issues?

The majority of our sales are sold with good, insurable title and no liens, judgments, mortgages or back taxes. The seller is responsible to provide good title. If the title cannot be cleared, which is very rare, we return the deposit to the buyer and the sale is null and void.

 

How do I inspect the property?

Most of our improved properties (homes, commercial buildings and vacant apartment units) are usually held open at designated times prior to the event. Some properties are shown by appointment only. Please feel free to bring your contractor or home inspector to the preview.

In some cases, our clients have a current home inspection for review. We will provide this report to you at no charge.

 

Does the winning bidder ever NOT close on the transaction?

Every once in a while the winning bidder does not close on the sale. When this occurs, we will notify the “backup” or 2nd highest bidder immediately to negotiate an offer. If this doesn’t work, then we contact the other registered bidders and the open market.

 

Can I make an offer prior to the accelerated marketing event?

It depends on the seller and the type of sale. Some of our clients are happy to consider offers but others would rather see the competitive bidding. Please call our office to check on the property that you are interested in.

 

Will the Seller be bidding up the price?

No. The owner and SVN Gilmore are prohibited from bidding. Rest assured, you will only be competing against other bidders at an SVN Gilmore event.

 

Is there additional information on these properties?

We distribute property information on our website and via e-mail. Any last minute information is sent out to interested parties by e-mail. Please make sure that you are on our e-mail subscriber list.

 

This is my first time bidding, any tips?

First, we recommend that you decide how you are going to pay for the asset. If you are planning to borrow some of the purchase price, then you should see a lender and get a prequalification letter.

Check out the values in the neighborhood or area and inspect the property. You should be able to find comparable property information at: www.realtor.com, www.zillow.com, www.loopnet.com, www.costar.com.

Set a range of value for your property. Maybe decide on a low price (a steal), a medium price (a great deal), and a high price (still a good deal but your top price).

When it is time to bid you will be prepared. Good luck in your bidding.