10 Steps for a Successful Bid
Helpful Advice for Real Estate Foreclosure Auctions
- How to Find the Right Object
- The Court´s File Information
- Property Inspection
- Secure your Financing
- Be on the Safe Side
- Practice Bidding
- Develop your own Bidding Strategy
- Develop Bidding Tactics
- After the Aqcuisition
The Special Right of the New Owner
1. How to Find the Right Object
The district courts publish foreclosure dates. Inside the Argetra Auction Calendar you find all court dates.
2. The Court´s File Information
The court has obtained an appraisal expertise for each object, showing the official appraisal value. The expertise also lists details such as rental income, damages or structural problems. The file includes copies of the cadastral register showing details on such as matter easements, deferred assets or third party entitlements. Any correspondence with the court must contain the file number.
3. Property Inspection
Printed matters can never substitute a personal impression from having seen the object. It is always a good idea to inspect a property you are interested in. With the help of an architect or a broker you may find out if a property you are interested in is the right one for you. The creditor is usually happy to arrange for an inspection date.
4. Secure your Financing
Prospective bidders should contact the creditor to find out which percentage will win a bid.
Payment is due to 4 to 6 weeks after the auction. At that point, you should have clearance from yor bank about the financing of the auction bid. However, ten percent of the appraisal value are due on the day of the auction.
5. Be on the Safe Side
auctions are cancelled shortly before the set date. Call the District
Court a few days prior to find out if the auction will take place as
scheduled or easily sign up Online on our page to get the information right via E-Mail in your postbox.
If the debtor pays his dues, a foreclosure auction may be cancelled on short notice. Auctions may also be cancelled for court procedures.
6. Practice Bidding
Try to attend a few court dates to gather experience before the date you are interested in comes up. Take in the atmosphere at court, learn the diction and try to understand other bidders´strategies.
7. Develop your own Bidding Strategy
Set you bidding limit above a certain barrier- and place your bids in a confident manner.
8. Develop Bidding Tactics
Place your bids in odd steps and numbers, do not let any of your competitors know where your limits are and try to outsmart the other bidders. The judical officer will accept any bid, no matter how odd the number may be. Unorthodox bidding manners can help you beat the competition.
9. After the Winning Bid: The Property Distribution Date
Even if you have placed the winning bid, you only own the property after the creditor signed the property rights over. The creditor´s representative in the court room can sign the paperwork on the spot. However, sometimes the property rights are signed over at a later time. The creditor is entitled to reject bids that do not suit his financial requests.
10.The new Owner´s Special Right to terminate Leases and Rental Obligations
The new owner has the right to terminate the old renter´s or owner´s usage rights immediately after attaining ownership of the property. The termination notice should be served by a bailiff in order to ensure its immediate effectiveness. If the property is inhabited by a tenant, rental laws apply. Accordingly, the new owner has the special right to serve a termination notice by advocating auxiliary power.