Online Auctions, which do you use?

10 Replies

Vanessa, 

Personally I hate online auctions! I hear some good stories and deals from some people but I have never had the luck. I use to try with auction.com but the day of the auction they would have a reserve for the property. I 've also had it where the bank bids against you online. There is too much competition with some properties too. I hope you have better luck then I did.

@Vanessa Duguerre , I am a big fan of online auctions. In the past I've used auction.com, hubzu, and I always keep my eye on hudson and marshall. I don't find the reserve to be an issue, as some banks still want to clear these properties off of their books and will sell despite the reserve not being met. Also, keep in mind that it's not necessarily the bank bidding against you. It's the auction site that is told to bid should the reserve not be met (it's an automatic thing). This has never been a problem for us personally, and if we get out bid once, we know it's typically the auction site. We also walk in with our "no more than" number, and work from there. Good luck, and PM me if you would like further details. 

In Maine, properties auctioned online rarely get sold due to high reserve prices, so much so that I no longer bother to bid and plan to attend in-person foreclosure auctions.  The situation may be different In your target RE market.

I’ve found the same thing to be true in NY. 

The selling price is often market price - no deal to be had . 

In order for people to help you, you need to fill in your profile. Particularly in relation to your question, there are different auctions depending on what state you are in. I buy often but I am in Maine so several are regional and it won’t help you if you aren’t here. But I buy from Keenan, Tranzon, Williams and Williams, Central Maine Auction, Xome, and once from auction.com.

@Matt Crusinberry hello, what kind of things do you do first before you go to purchase online? I’m just starting out and looked at properties online but got scared away. Do you have to get title insurance or see how much back taxes are owed?

I only buy at county foreclosure auctions. Those mentioned here are not always official foreclosure auctions. Sometimes they are REO listed for sale by the bank in an auction style format but the auction already happened long ago and nobody bid and the bank ended up owning the property. They list them like this to try and get more for it than they normally would if they sold it as an REO on the MLS.

Find your county foreclosure auction and learn how to research properties and bid there.