Buyer FAQ
If I cannot attend the live auction, can I still bid online?
Yes. We offer online bidding during our onsite auctions. You can bid via BangAuctions.com or on our mobile app downloadable from the Apple Store or Google Play.
I never bought a property at an auction; can you give me some advice?
First, you need decide how you are going to pay for the asset. If no financing is allowed, you will need to make sure you have the cash available to make the purchase. If you are getting a loan to purchase the property, then you should immediately work with lender and get a prequalification letter.
You should get a professional opinion on the value of the property from your real estate broker/agent or discuss the value with an appraiser. You can also find value information on third party real estate sites like Zillow and Loopnet, but we strongly recommend discussing this with a real estate professional.
Set a range you are willing to pay for the property. Maybe decide on a low price (a steal), a medium price (a great deal), and a high price (still a good deal but your top price).
Being prepared prior to the auction will make you more confident and successful in your bidding.
What are the fees I have to pay besides the bid amount?
In addition to your high bid amount, there are two costs associated with buying a property at auction.
Buyer’s Premium or a Minimum Auction Fee and closing costs. There are two types of auction fees, and you will pay one or the other, never both. One is a Buyer's Premium that is usually 5% of the high bid amount. The other is a Minimum Auction Fee, which is a flat fee which is disclosed on the listing. Check the property listing to determine which type of fee applies to your property.
Closing costs vary by property and are typical in real estate transactions vary by location and are not set by Bang Auctions.
Can I make an offer prior to the auction?
On most properties you can make a pre-auction offer. Bang Auctions or its affiliated broker can prepare the offer or you can have your broker/agent submit the offer. If you are considering making a pre-auction offer, we suggest that you make it your highest and best offer to give it the best chance of being accepted by the seller. If the property is already headed to auction, the seller will most likely not consider any “low ball” offers.
Is the reserve price disclosed to the public?
The reserve price is a confidential number, but once the reserve price is met, the listing will indicate to the public that the reserve price has been met.
If I am the highest bidder, do I automatically win the property?
If you are the highest bidder on a property at the end of bidding and the reserve price has been met, you will be contacted, and you should receive a purchase agreement to sign via email. The purchase is not fully approved until the purchase agreement is executed by the seller. If you are the highest bidder for a property and it did not meet its reserve price, the seller has the sole and absolute discretion to review all offers and accept or reject any of those offers. The seller is not obligated to negotiate with the highest bidder or give any special rights to that bidder.
Will I be responsible for back taxes or liens on the properties?
Unless otherwise noted on the auction listing the seller will pay any back taxes, liens and clear any title-related issues on the property. Unless otherwise stated, the seller will convey insurable title to the buyer upon closing; otherwise, the buyer has the right to cancel the purchase with a full return of their deposit.
Bang Auctions sometimes sell properties were the property will be transferred via a quitclaim deed. The seller will not be guaranteeing insurable title. These terms will be clearly defined in the listing. With these sales the buyer will assume all back taxes, liens, and closing fees. We suggest you order an independent title search to verify that are no title or lien issues with these listings.
Can inspect an occupied property?
On occupied homes, we cannot provide a lockbox code. Some auctions have scheduled open house events and you will need to make any inspections during those scheduled times.
Some occupied properties have stipulations that prevent them from being seen prior to auction and require the bidders to bid without having first seen the interior property. The occupant should not be disturbed! Buyers and their agents should not trespass on the property prior, during, or after the auction. You can only view the property from the street.
If I buy an occupied property, will I be responsible for evicting the occupants?
Yes, if you purchase an occupied property you will be responsible for making arrangements with the occupant or evicting the occupant. information we have on the property will be listed or attached to the auction listing. If there are some changes or new information obtain prior to the auction Bang Auctions will notify bidders with an email. Make sure you have registered on our site to be updated on a specific auction and all future auctions.
Is there additional information on these properties?
Any information we have on the property will be listed or attached to the auction listing. If there are some changes or new information obtain prior to the auction Bang Auctions will notify bidders with an email. Make sure you have registered on our site to be updated on a specific auction and all future auctions.
What is a PSO Sale?
In Ohio HB 390, which became law on September 28, 2016, authorizes a new process for the sale of real property in a foreclosure. R.C. § 2329.152 authorizes such sales by a “private selling officer.” This new term is defined as “a resident of this state licensed as both an auctioneer under Chapter 4707 of the Revised Code and as a real estate broker or real estate salesperson under Chapter 4735 of the Revised Code.” R.C. § 2329.01(B)(2). Under the new provision a judgment creditor (not just a mortgagee) can file a motion to request that a specified private selling officer (“PSO”) be authorized to sell the real estate. R.C. § 2329.152(A). The sheriff will still obtain the appraisal, but once that is done, the PSO shall advertise and sell the real estate. R.C. § 2329.152(A)(2). The provisions authorizing the use of PSOs instead of sheriffs to conduct judicial sales apply equally to both residential and commercial property foreclosures. A PSO may market and auction the real estate, either online or at any physical location in the county in which the real estate is located.
