Would you like to know how a real estate auction works? Tarrant and Harman would love to help answer your questions about real estate auctions. Read the following frequently asked questions about real estate auctions and feel free to contact us if you have any additional questions!
Q: What steps do I need to take in order to bid on a property being offered at auction?
A: Once you have made the decision to attend the auction and bid on the property you should complete the following before attending:
Call our office and schedule a private showing with one of our brokers in order to decide if you are interested in buying that particular property.
Inform your lending institution whether it be a local bank or mortgage broker, that you are going to pursue a property that is being offered at auction. Be sure to let them know they need to give you 100% approval in loaning you the money. Our auction contracts are not contingent on financing. If you are unable to obtain financing after you are the successful bidder at auction, you will forfeit your place as the successful bidder and any money you have put down the day of the auction.
Please arrange to have the home inspected. Our auction contract is not contingent on a home inspection and all of our properties being offered at auction sell AS/IS, but we do allow and recommend that each prospective buyer completes a thorough home inspection. Making a decision to buy a home is a very big commitment. Make sure you know what you are buying. Most home inspections cost $200-$300 and is always money well spent.
Q: Will I get clear title to the property free and clear of any liens?
A: All of our closings are facilitated at a reputable title company where thorough title searches are conducted. All existing mortgages, liens, and real estate taxes will that are the seller’s obligation will be paid in full at closing. If the seller is unable to convey a clear title, your earnest money will be returned to you.
Q: Is there a reserve on the property being offered at auction?
A: Most of our seller’s do have a reservation on the price they are willing to accept at the auction. This is a number that is not typically disclosed to the public or potential buyers. Remember though, you never know what may change at an auction.
Q: What is the starting bid?
A: We generally let the auction crowd start the bid at whatever they are willing to “kick it off” at. If there is a starting bid, we will be sure to disclose that in all of our advertising.
Q: What if I have a real estate agent or broker representing me?
A: Tarrant and Harman welcomes broker participation at many of our auctions. There are a number of sellers, however, who do not offer broker participation. Please have your agent/broker contact us before the sale for more information with regards to agent/broker participation.
Q: Is the auction process right for my property?
A: Whether you are selling residential, agricultural, or commercial properties, the auction process allows for a time definite sale that reveals true market value. Call us for a free, no obligation consultation to view your property and discuss your situation. (618) 433-9436
Q: Where will you advertise my property?
A: Tarrant and Harman will create a marketing campaign specifically designed for your property. We advertise on hundreds of websites, the multiple listing service, local paper publications, signage, social media, and fliers.
Q: Can I set a reserve price for my property?
A: Yes, you can set a reserve price for your property. Tarrant and Harman will tell you what the approximate market value of your property is and discuss the reserve price at the initial consultation.
Q: What if the property does not meet the reserve price at the auction?
A: Tarrant and Harman does charge a “No Sale Fee” of $1,500 if your property does not reach an acceptable price the day of the sale. This fee is used to cover signage and all advertising for the sale.
Call us today (618) 433-9436 for your auction analysis or simply fill out the form below and someone will be in touch within 24 hours!
Office: (618) 433-9436
3644 Fosterburg Rd.
Alton, IL 62002
Office: (217) 854-2590
252 South Side Square
Carlinville, IL 62626