Dallas-Fort Worth Real Estate Investor Club

auction

  • 27 Feb 2016 10:22 AM
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    Message # 3848018
    Deleted user

    I am aware of a property that's up for auction next week. I have not heard this topic discussed at the REI meetings or on this forum.

    Is there someone out there who would be willing to coach me on this? The auction is scheduled for Tuesday! but I understand that's subject to change...

    If you could just share your knowledge of the process with me, I'd appreciate it.

    Thanks, Paula

    6825589475
  • 29 Feb 2016 10:21 PM
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    Reply # 3852405 on 3848018
    Deleted user

    I guess I asked the wrong question? I don't even know where "THE COURTHOUSE STEPS ON THE EAST SIDE OF THE BUILDING, FORT WORTH" is. Which courthouse?

    Can anyone give me a hint about this auction thing?

    Like how and where do you check to see if an auction is really going to be held at the date and time they say?

    Anybody?

    Paula
  • 01 Mar 2016 4:34 AM
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    Reply # 3852817 on 3848018
    Deleted user

    Paula,

    I strongly suggest you become a little more seasoned before jumping into the deep end of Real Estate investing.

    Purchasing properties on the courthouse steps used to be profitable for the "Average Joe." Not so much anymore. What the casual observer sees bears little resemblance to reality. Do yourself a favor and attend some club meetings for a while, learn the ropes, do a few deals, become better REI educated and experienced. THEN, if you still want to try Auctions, there are plenty of folks who'll train you up - for a fee.

    LMK what else I can do to help you grow your business.

    -Greg

    Greg Wilson

    The REI Mentor
  • 01 Mar 2016 8:04 AM
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    Reply # 3853075 on 3848018
    Terry Allen

    Hello Paula,

    Thanks for clarifying your question. I agree with Greg, you MUST do your due diligence before actively participating in a real estate auction! Properties at auction hold a number of different surprises, some may be occupied and the BUYER will be financially responsible for legal eviction of the occupant(s) and their belongings.

    However, I have had great experiences in observing the process and seeing the results. The networking opportunities are good, you'll meet many other investors there.

    To see the current list of bank foreclosures offered at the auction, go here:

    http://access.tarrantcounty.com/en/county-clerk/administration/foreclosures.html?linklocation=Iwantto&linkname=Foreclosures

    The address of the Courthouse is:

    100 W . Weatherford Street
    Fort Worth, Texas  76196

    If you go, plan on paying for parking - street side is limited duration, garages and lots are a few blocks away. Tarrant County Delinquent Tax sales are held in the same location.

    By the way, I have never purchased a property at the courthouse auctions.

    Thanks,

    Terry
  • 01 Mar 2016 5:45 PM
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    Reply # 3854290 on 3848018
    Robin Carriger (Administrator)

    Great advice from Greg and Terry... I concur with both of them.  Succinctly, it's a good idea to attend an auction for the experience and networking possibilities, but leave your guaranteed funds at home until you've had the appropriate training.

    Paula, If you'd like to discuss the process of working foreclosures in a little more detail, please feel free to give me a call at 817-300-1132.

    Thanks,

    Robin
  • 01 Mar 2016 6:59 PM
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    Reply # 3854379 on 3848018
    Deleted user

    Hey! I totally get that, guys. That's why I asked for info. Any info.

    I am not green or dense enough to have wasted my time at the courthouse today without more info. Yes, as a student of REI, I would like to observe this process (one of many), and so I was asking for advice as to how to do so. (At least, I do get that it's typically a cash only deal, or it was in the case of the property I'm interested in...)

    How about instead of telling me that I don't know anything, you volunteer something useful by counselling me on what it is you think I should know.  I mean, how is my request any different from all of the recent "New to investing" inquiries that knowledgeable members are so willing to entertain?

    Regardless, I hope the person who won the bid for the property I'm interested in will be so kind as to post it here as a wholesale turnover opportunity?!

    YMMV, Paula

    6825589475
  • 02 Mar 2016 1:49 AM
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    Reply # 3854718 on 3848018
    Dwayne Modisette

    Hello Paula,
      It sounds like you are talking about a foreclosure auction. Auctions for both bank foreclosures and tax foreclosures are held the first Tuesday of each month, rain or shine, at the address Terry gave you. Sometimes they are not able to get around to all the properties they have and will reschedule a property to the next month. Other times a creative real estate investor may persuade the auctioneer to "make sure" a particular property gets pushed to the back of the pile so they won't get to it till the next month, thereby buying time to help the family who lives in that property find another solution. (Not that I'm speaking from personal experience or anything. :D )

      The link Terry posted goes to bank foreclosures. This link will give you listings of tax foreclosures scheduled to be auctioned and the minimum bid amounts for each property. http://fortworthtexas.gov/propertymanagement/realproperty.

      Here's another link you'd probably find interesting. It tells more about the process. http://www.hullfinancialplanning.com/the-tarrant-county-texas-tax-sale.

      As to the bidding process itself, I believe you have to first register, bring proof of funds, and (if I remember correctly) a $10k cashiers check at time of registration. I could be wrong on that. It's been about seven years since I've messed with any of it. Call 817-884-1111 and ask the operator to connect you to whichever department handles trustee sales. They will be able to give you accurate information about the registration and bidding process.
  • 03 Mar 2016 12:10 PM
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    Reply # 3859163 on 3848018
    Deleted user

    Paula,

    No one here is trying to insult you. Far from it. We are trying to protect "newbies" from losing their life ... savings.

    When you go to the auction, it will look like disorganized chaos. It's NOT. There will be lots of folks in varying stages of excitement trying to "win." What you don't see are the teams those folks belong to. Some are ad hoc teams of friends who show up and agree to work together for a deal or two. Many are organized, professional teams, designed to 1) drive newbies out of the auction business ("let's run up the numbers until the newbie buys a house for WAAAAAY too much $ and then laugh as she goes broke") or 2) prevent you from seeing what is going on ("blocking" is a term used when team members prevent a buyer from being able to make a bid - I'm personally big enough that I can stand in front of most folks and prevent the seller from being able to see you), or 3) knowing where the deal is being held (how MANY sets of step does a court house have?

    If you are looking for fast-track, detailed, experienced knowledge, I suggest you call Arne Abramson (http://www.txtaxsales.com/about-us.html) or Pam Cleary (you can google this forum and get her contact info - or ask Robin) and have them teach you how to do auctions profitably.

    Good luck!

    -Greg

    Greg Wilson

    The REI Mentor
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