Buy Real Estate
Interested in Buying Real Estate at Auction?
Purchasing real estate at auction is a streamlined and efficient process. Transparency is our goal! We offer open houses, detailed disclosures, property information and clearly stated auction terms to potential bidders, ensuring a level playing field for all.
The auction process eliminates complex offers and negotiations. As a buyer you will enjoy the excitement of bidding in an open forum where you decide your final bid. On auction day, the highest bidder wins!
Without any further delays or contingencies, Alderfer Auction's Real Estate Team will guide you from auction to settlement in 45 days or less.
How should Buyer's prepare for Auction Day?
1. Understand the Auction Terms and Conditions
With each auction we provide a document called Bidder Terms and Conditions, which along with the purchase and Sale Agreement, acts as the contract for your real estate purchase. It's essential to thoroughly review these documents to grasp the auction's framework fully. Should any questions arise, our Real Estate Team is on standby to provide clarity and to guide you through the process, ensuring you're well-informed every step of the way.
2. View the Property
Alderfer Auction schedules public Open Houses for potential buyers to view the property. During these viewings, you'll receive a property information packet which includes the Auction Terms, Seller's Property Disclosure, additional property information and any pre-conducted inspections. We welcome you to bring a contractor or inspector to thee viewings to help you make an informed decision.
3. Financing and Pre-Approval
Contrary to the myth that auctions are cash-only transactions, properties sold through Alderfer Auction are eligible for financing through the typical mortgage lending process. Obtaining pre-approval for a conventional loan is a crucial step, indicating the maximum bid you can place without exceeding your loan amount. This preparation is vital, as auctions eliminate mortgage or appraisal contingencies and require certified funds for registration and bidding.
4. Auction Day: Live and Online Bidding
The excitement builds on auction day, with attendees and online participants making final preparations. Whether the auction is live, online, or a combination of both, all bidders must demonstrate they have the necessary certified funds. This ensures a fair and equal opportunity for all interested parties to purchase the property. Remember, auctions move quickly, typically concluding within 20 minutes, so punctuality is key.
5. Winning, Paperwork, and Settlement
You've won! Buyer and Seller will execute the Purchase and Sale Agreement, and the certified funds become your deposit. You will now initiate the mortgage process. Our Real Estate Specialist will work with your lender and our title company to ensure a smooth process from the day of auction to the day of settlement. We are here to answer your questions at every turn!
Congratulations! With keys in hand, welcome to your New Home!
Embark on Your Home-Buying Journey with Confidence
Buyer FAQ’s
Alderfer Auction is committed to making your home-buying experience transparent, assessible and successful. Ready to find your dream home at auction? Contact us today to begin your journey.
Are all properties sold at auction bank-owned or foreclosures?
No! We auction properties on behalf of Estates or Sellers transitioning to new living situations. We guarantee clear title to all of our auction properties and currently do not sell any bank-owned or foreclosed homes.
Do I have to pay cash if I purchase a property at auction?
No! Many of our buyers secure conventional financing. Settlements are scheduled 6 weeks after the auction date to allow time for the lending process.
Can I make an offer on a property before it goes to auction?
We accept bids on our properties prior to auction, but we will not sell the property before the auction date. This allows all bidders the same opportunity to participate in a fair and open bidding environment on auction day.
What are the typical fees associated with buying a property at auction?
Buyers should factor in the Buyer’s Premium and the required deposit. Specific fee details are outlined in the Bidder Terms and Conditions for each auction.
What is Buyer's Premium?
The Buyer’s Premium is an additional fee that is added to the final bid price to determine the total sale price of the property. The Buyer’s Premium is a variable percentage of the final bid price and is available in the Bidder Terms and Conditions for each auction.
Can I participate in the auction online, or must I be present at the live auction?
In addition to live bidding, we offer online bidding or bidding over the phone with an Alderfer Auction representative. In order to be approved to bid online or on the phone, we require pre-registration. Please see the Bidder Terms and Conditions for specific details.
Do I need a Realtor to buy a property at auction?
While a Realtor is not necessary, buyers with agents are welcome. Our Real Estate Team can guide you through the process from start to finish.
Have More Questions?
Our Real Estate Team is ready to provide further information and support. Contact us at 215-393-3000 or visit our contact page to submit your inquiries directly.
