Buying from Auction.com, too risky?

5 Replies

Does anyone have experience buying from Auction.com? There are a few properties on there but all owner occupied? One has a case pending... is this risky?  How would I take possession and get the tenants out?

@Cade Andersen Start off your journey in real estate with something easier like wholesaling. Keep educating yourself as much as possible so that someday you are better equipped to handle complex deals like foreclosures. Here there is the added risk of buying as-is, so, only seasoned investors tend to make the best purchases at these auctions.

Good Luck!

Originally posted by @Cade Andersen :

Does anyone have experience buying from Auction.com? There are a few properties on there but all owner occupied? One has a case pending... is this risky?  How would I take possession and get the tenants out?

Depends on risk tolerance you have. I think you got some great advice. I had a client who did this on his first deal and he got stuck evicting the occupent, but he still thought it was worth it. So there is a risk. I see 3 major ones.

Access: you probably don'tget access so you don't know what you are getting inside. That can also limit financing options if you are getting loan.

Damage: person living there gets mad and damages or steals hvac, plumbing etc 

Eviction: you might have kick person out, make sure you know laws and have good attorney lined up.