Did anyone go to the Hudson and Marshall 'auction' held at the Embassy Suites Destin (Miramar Beach) last night? If you did, any comments re: number of people there, quality of the bids, etc?
I put 'auction' in quotes as it is not an absolute auction, and there is NO guarantee that the seller (banks) will sell the property to the high bidder.
I called H&M. Their process is as follows: They offer broker commision equal to 2% of high bid. Total sales price is Highest Bid plus 5% fee. Bidding is opened to the floor with bidders thus setting opening bid. You can bid on-line prior to the auction, but I'm not sure how they treat internet bids- whether used to set opening bid or whether they are unsealed in another way at auction. Their rep hinted that properties could pre-sell, they are all on the market via regular MLS. Anyway, high bid from the 'auction' gets taken to the bank who then decides if they want to accept, ... or counter or ignore. In other words it's a way to get offers in front of the bank.
I didn't get specifics on how long it would take before they get back to buyer re: accepting/declining offer, certainly it must be within a few days as there is a mandatory 30 day close). All accepted offers are treated as cash offers, so if financing isn't or can't be obtained earnest money is at risk.
I am curious about the response H&M had to this method of marketing real estate. Any thoughts?
I put 'auction' in quotes as it is not an absolute auction, and there is NO guarantee that the seller (banks) will sell the property to the high bidder.
I called H&M. Their process is as follows: They offer broker commision equal to 2% of high bid. Total sales price is Highest Bid plus 5% fee. Bidding is opened to the floor with bidders thus setting opening bid. You can bid on-line prior to the auction, but I'm not sure how they treat internet bids- whether used to set opening bid or whether they are unsealed in another way at auction. Their rep hinted that properties could pre-sell, they are all on the market via regular MLS. Anyway, high bid from the 'auction' gets taken to the bank who then decides if they want to accept, ... or counter or ignore. In other words it's a way to get offers in front of the bank.
I didn't get specifics on how long it would take before they get back to buyer re: accepting/declining offer, certainly it must be within a few days as there is a mandatory 30 day close). All accepted offers are treated as cash offers, so if financing isn't or can't be obtained earnest money is at risk.
I am curious about the response H&M had to this method of marketing real estate. Any thoughts?