Recommended starting bid for Spokane SFR?

3 Replies | Spokane, Washington

Our loan on a SFR in Spokane is going to auction next week on 8/16 and we are wrestling with a starting bid that will attract buyers. As I understand it, the market in Spokane is pretty active. The borrow's total debt on the home with all arrearages is around $192,000 which of course is beyond the value of the home. The address is 3917 East Frederick, and AVM shows it at $170K in good condition. It will need repairs so we are thinking of opening bids at $110K. Any recommendations are appreciated.


Hi @Bob Malecki , my experience of our market here over the last 5+ years is that auction deals increasingly tend to go for over what is "wise" from an experienced investors' point of view.

• Do you want the house back?
• What amount would you be happy with getting back, regardless of arrearages?
I bet your answer lies somewhere in between.

If ARV is $170,000, and plenty of notice is given for investors to research, the auction should easily send it higher than $110,000. If you let the market "speak" via the auction, you'll get the most you can out of it. Advertise it as best you can in advance.

Smarter rental management
Outperform your peers by 71%
NestEgg landlords save $6,960/yr in fees & 20 hrs/mo*. Self-manage for free or go hands-off for $29.
Start now, get $500