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Not all houses bought at an Auction are repossessed or sold at a discount.
Some sellers voluntarily sell their houses via an auction, and they are not even obliged to accept your winning bid price.
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Some sellers voluntarily sell their houses via an auction, and they are not even obliged to accept your winning bid price.
#MiniThread
There's a growing phenomenon in South Africa of selling one's house via an auction.
This is mainly seen by Real estate companies listing a property as "Auction" instead of "For Sale"
This is mainly seen by Real estate companies listing a property as "Auction" instead of "For Sale"
Sellers can sell their homes via a voluntary auction, where they freely put the home on auction hoping to get the best deal by Playing buyers against each other in a live or online auction. These auctions usually favour the seller rather than the Buyer.
Then there's what we Call a bank auction. This is the penultimate step to losing your home. The banks last resort before taking you to the cleaners.
The bank auction is organized by the bank on behalf of the seller who is in arrears with his bond. This type of of auction
The bank auction is organized by the bank on behalf of the seller who is in arrears with his bond. This type of of auction
Can benefit the buyer, as the property is sold at a reduced price(if you don't go wild out bidding people) and the rates and taxes are handled by the seller
Then we have the last resort, No one wants to come here, not banks not owners. Neither should you, if you're new to the game, too many moving parts.
The Sherrifs auction!
When the bank was unable to recover their funds from the current bond holder, failed to sell at the bank..
The Sherrifs auction!
When the bank was unable to recover their funds from the current bond holder, failed to sell at the bank..
Auction and all avenues persued. The bank then applies to the court to auction the property. This is ussualy the best source of value for buyers(who know how to run the numbers and navigate the cartels at auctions ) as the properties are sold at a significant discount
Sometimes at 50% of the properties value.
It is important to know that the very same bank that has brought the property for auction will send a representative to bid for the property as well.
It is important to know that the very same bank that has brought the property for auction will send a representative to bid for the property as well.
If the bank out bids everyone, or the homes minimum set price(Reserve Price, Google the 2018 High Court ruling on this) is not met and the home is not bought at the auction, it now becomes the banks property and is called a repossessed house.
All banks have a list of repossessed houses in their inventory. Before you rush to buy a repossessed house, ask yourself why it passed so many stages and no one bought it, do your research.
We've sold most of our houses, if you're looking to Sell your home, work with a property professional that has your best interest at heart
email:[email protected]
WhatsApp: 081 5644 811
email:[email protected]
WhatsApp: 081 5644 811
