But, to be successful and to become a winning bidder you need to be prepared!!
If you haven’t purchased property at an auction before it can be daunting. Don’t worry – we are here to make the process as smooth as possible and help you get prepared for auction day!
Here are some more details about the Audubon Park Auction:
(but first, if you have not read our previous posts: Audubon Park Goes Auction & Fenway Condo Auction Tips please jump into those first before continuing AND do not forget to ask us about the special CASH BACK REFUND that ONLY CondoDomain is offering!!!!)
This sale includes 25 condominium residences within Audubon Park, located at 16 Miner Street in the Fenway neighborhood. The sale will occur on October 19, 2010 “Auction Day”. The developer owns 41 units so be ready to see new units put on at the Auction.
A minimum selling price has been established for all the residences. This means that the Seller has agreed to accept from registered bidders all bids equal to or greater than the published minimum selling price for each of these residences. No bid below these minimums will be recognized. From our experience most auction units end up selling at a 35%-40% discount from the asking price.
Registration is required to attend the auction and to become eligible to bid. Complete and return the Auction Registration Form by October 17th 2010.
On Auction Day, all approved registered bidders must present a Bank Check in the amount of $10,000. Each bidder is also required to bring a blank personal check. The blank check will then be added to the $10,000 to equal three and one half percent (10%) of the winning bid price. The Bank Check should be made payable to yourself.
If you are FHA approved you can put down as little as 3.5% and only have to bring $5,000 to the Auction. So, make sure you ask your mortgage broker.
You should physically inspect all residences you are interested in purchasing since the units will be delivered in “as is” condition. Most of our clients make detailed lists of the units they like and rank them according to preference before auction day.
CONDO DOCUMENTS AND P&S
You will be able to review electronic copies of the Purchase and Sale and Condominium Documents PRIOR to the auction. It is important to read through the condo documents and have an attorney take a look as well. Before auction day you will also want an attorney to review the Purchase and Sale Agreement since winning bidders will be expected to fully execute the Condominium Purchase and Sale Agreement immediately after becoming the winning bidder in the auction room. There will not be time to review the documents again on Auction Day so please ask all questions prior to October 19th!
Prospective buyers should get pre-approved by the Seller’s preferred lender. In the event a successful bidder wants a mortgage financing contingency in the Condominium Purchase and Sale Agreement, the successful bidder must use financing arranged by the Seller’s preferred lender(s) and Title Company, and must provide to Seller a pre-approval in writing for a specific dollar amount prior to Auction Day. A mortgage representative from the Seller’s preferred lender(s) will be present on site during open house dates to meet with bidders by appointment to assist with financing.
All sales must close on or before December 17, 2010 unless an extension is granted by Seller in writing. In addition to the Purchase Price, the Buyer will be responsible, as provided in the Purchase Agreement, for paying certain costs on the day of the closing, including but not limited to, recording fees, title insurance fees, settlement costs, any costs related to Buyer’s loan and two (2) months initiation fees to the Condominium Association.
There are 20 garage parking spots in the building. Auction winners are able to purchase the parking spots for $60-$70K (depending on the level) on Auction Day. Garage spaces will be offered on a first come first served basis to winning bidders on Auction Day and added to the purchase price of the home.