Do you have to have the full amount at the auction?
Can you have some percent down and come up with the fund in a short period of time?
thanks,
Joseph
Forclosure rules vary state by state and even county by county. The auctions I’ve attended in South Jersey require 20% down IMMEDIATELY upon successful bid (even before te next property is auctioned off). The balance is due 10 business days after the sale, assuming the owner does not redeem the property.
If you fail to come up with the balance after 10 days the sheriff’s office will keep the original 20% and re-auction the property. You are liable for any difference between the original sale price and the subsequest sale price but are not entitled to any benifits if the subsequest sale price is higher than the original sale price.
Call the Sheriff’s Office (or the local agency responsible for the sale) and get a copy of the auctions’s terms and conditions. Get it in writing! Do not rely on statements such as " We usually give buyer’s leeway in paying the balance." The written terms and conditions are what you need to be aware of and plan for. This was going on for quite a while on one SJ county but in a single day they cracked down and began following the written terms and condtiions.
As a note: If the owner does redeem the property it cam be several months before the Sheriff’s Office returns your 20%. I know from experience!