Land Auctions?

[Oilpatch197]

What is to a Land auction?

Do you need to register before you can start Bidding?

There is a land auction near me, I've heard bad stories about Land auctions on how someone else makes a claim that they bidded at a auction and then you have to battle it out in the courts....

Is a Land auction a good place to get land?

[GREEN_ALIEN]

SERIOUS CASE OF BUYER BEWARE HERE!

For the first part, yes you must usually register first and have cash on hand.

For the important part. There was recently a land auction locally and basically not one item sold was a square deal. Either the property was not as advertised, not the same parcel as advertised, undisclosed waterways and wetlands and on and on..... ALL were overpriced and in some cases hundreds of percent. If by chance someone used the land auction company in house financing it would only cost them 25% down and 12% interest...... YEA RIGHT

If you choose to do this and I am sure there must be a reputable auction somewhere, RESEARCH EVERYTHING. The company, the parcel, pay for a title search, talk to the assessor do it all.

Ted

[Mike in Ohio]

The first thing to do is to attend a few auctions. Some auction houses play it straight and others may not. Your mileage may vary.

We bought the first parcel of our farm at auction and it was a smooth transaction all the way around. We had attended (and bid at some) a number of auctions prior to our purchase.

You do need to check the titlework and do your homework before bidding. If it is a reputable auction house they will have the titlework available for inspection prior to the auction. It also helps to have cash in hand or financing lined up in advance.

Mike

[Alice In TX/MO]

We have been to several in S. Missouri. Usually an older person going to live with their kids or into a retirement.

Most of the properties sell to realtors who break them into 5 acres parcels and bring in people who won't make payments, trash the property, and move out so the realtor can sell it again and make more money.

The prices are usually between $1000 and $1300 an acre, depending on improvements, fruit trees, timber, etc.

Haven't heard of problems with the sale going through, but these are all local auctioneers, one of whom works at the courthouse for his day job.

[uncle Will in In.]

Land auctions have become the most common way to sell anything with any acerage around here. Someone wants to sell their farm. They get an auction company who are also realters. They will divide the farm up into smaller plots and you bid on each plot seperatly. After the plots are bid off (not yet sold) they put up any combination of plots you want to bid on if you can outbid all the previous bidders. When they get bids for the highest total amount possible, it is declared sold to the highest bidder or bidders. At that time you must deposit 10% of the sale price. You better have your financing prearranged, because your deposit is not refundable. You had better know what you are bidding on as far as negative things. They will survey your plot if nessesary, and give you title insurance for the amount you paid for it.

[Jan Doling]

We bought our acreage at a land auction. The developer went bankrupt and the bank holding the mortgage held the auction. I advise you to walk the land ahead of time and decide which lots you are interested in. We were very green and got 20 acres of wetlands, but it works for me. Nineteen acres are protected by the environmental agency, but I consider that my buffer zone. Also, last week there was a forest fire. It would burn up to my property line and the swamp would put out the fire. So I have swamp land in Florida...but my mother was a "swamp angel" from the Everglades so I guess it is hereditary. Anyway, do your homework and ask questions. Talk to people who already own in the area and check out schools, jobs, etc. If possible, go to the courthouse and make sure there is access and no restrictions.