BS: Thoughts on Real Estate Auctions???

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bee
Date: 06 Jul 08 - 11:27 AM

True, biLL. Quite a few of those 'rich' Americans bought here when their dollar was high and property here was a steal. Nevertheless, between them and the Germans (of which NS has acquired a significant population), there's still a lot of wealth represented.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Donuel
Date: 06 Jul 08 - 11:10 AM

bad ideas:
Ebay with no reserve.
Sell the mineral rights for gold and unranium.
Advertise in Arabic papers "Private hidden clubhouse near DC for sale"

interesting ideas:

Renting to:
Mormons
historical archeologists or paleologists.

Many people who are upside down on their properties are renting these days.
They still lose $ but not nearly as much.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: GUEST,number 6
Date: 06 Jul 08 - 11:05 AM

I agree Bee ... I have witnessed a lot of coastal property here in southen N.B. being bought up here by 'rich' Americans ... but this year though, a lot of these homes are and will be vacant for the season ( I guess they are not all that 'rich' ... and more so as time goes on ... including the use of private planes. Even the rich have a limit as to what they will and can spend.

biLL

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bee
Date: 06 Jul 08 - 10:56 AM

biLL, if a person can afford a second home in another country, it's likely the price of gas is not gonna be an issue. There are plenty of rich Canadians in the Toronto area and elsewhere. Even here in NS, it's astounding the number of people around with private small planes, for example.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: GUEST,number 6
Date: 06 Jul 08 - 10:55 AM

Your in a bit of a tight jam ring ... been there myself back in the early 90's .... unfortuanately the value and requirements of real estate is going through a major transition .... hang on as long as you can ... try not auctioning it off and face the possibility that you will probably have to sell it off at a loss .. that's what I eventually had to do, but I survived with (though) a hole in my wallet, but intact in spirit .... bite the bullet, but keep the faith.

biLL

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: GUEST,number 6
Date: 06 Jul 08 - 10:46 AM

"it's only about 350 miles (as crow flies) from Toronto to Washington, DC. Not even a long trip by Canadian standards. Add on the two hours South of the city, of course."

Times are a changing ... oil at around $140+ a barrel and realistically it aint going down.

biLL

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bobert
Date: 06 Jul 08 - 08:57 AM

Well, f-troupe, I need to sell it... The interest on the loan is over a $1000 a month, plus I own an old hotel in Luray that I was renovating but had to stop for lack of capital... The plan was to have had this house sold and me abck to work on the hotel...

Renting won't free up capital and I'm not really wild about borrowing money for the hotel... Actually, when this house sells I will be, once again, debt free... Debt sucks...

B~

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: The Fooles Troupe
Date: 06 Jul 08 - 01:48 AM

Well, do you really want to sell it? Especially right now, at the current state of the market? Would you prefer, as above, to hold it for up to 5 years or so? Empty, costing money to hold and maintain?

Have you considered just renting it? Holidays, etc if not to a 'permanent' tenant? You will get income (and some tax benefits too).

Having rented it for while, it is of course, then not 'new', but most houses are eventually sold 'second hand'... :-)

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: katlaughing
Date: 06 Jul 08 - 12:49 AM

Contact House & Garden TV and see if they'll feature it in one of their programs...maybe "Sell This House!" Ya never know.:-)

IF a certain grandson weren't so near by, etc., etc. it sure sounds tempting. I don't think I could ever leave the West, either, though.:-)

Good luck!

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bee
Date: 05 Jul 08 - 11:02 PM

I just looked - it's only about 350 miles (as crow flies) from Toronto to Washington, DC. Not even a long trip by Canadian standards. Add on the two hours South of the city, of course.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Riginslinger
Date: 05 Jul 08 - 09:44 PM

Bee - That's something I would never have thought of, but it's a good idea.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bee
Date: 05 Jul 08 - 07:30 PM

Advertise it in Canada as well, Bobert. There may well be people interested in having a vacation home there - maybe even some Canadian who has Washington business connections that need attention regularly.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Donuel
Date: 05 Jul 08 - 07:27 PM

Auctions will net you less.

Be patient.
Price reasonably
stage it well

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bobert
Date: 05 Jul 08 - 07:21 PM

Oh yeah, Rigs... I remember those days well and realize that I'm not going to make a killing on this house... Right now, I'd probably be happy just to get the price of the land outta the deal and throw in the house for what I have in it... That would break me even... That figure is right at 20% less than the asking price which from what I read is about where the market is...

One nice thing is that the property is two hours south of Washington, D.C., is very private, has great views looking up at Skyline Drive on the Blue Ridge Mountains and the buyer can pick out all their kitchen and bathroom cabinets and fixtures... Everything is is completely finished along with real hardwoopd floors done the old fashion way...

B~

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Riginslinger
Date: 05 Jul 08 - 05:31 PM

Bobert - I can see that you're in a very good position, but remember the real estate markets in the 1980's. What we've seen recently was pretty tame compared to that.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bobert
Date: 05 Jul 08 - 02:46 PM

I can carry the paper now, pdq... I own 100% of the land and over 50% of the value of the house... I was thinking that if someone wnats to buy it that I could hold well over half the note in a 2nd deed of trust... It's just that in this market, I would be willing to let it go under value to free up capital for another project that is one the back burner...

That's why I'm, at the very least, wondering about the ins and outs of real estate auctions...

B~

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: pdq
Date: 05 Jul 08 - 02:11 PM

Take out a reasonable mortgage against the house you live in and use that money to pay off the "spec house". Once it is free and clear, you can carry the paper. You get the house sold and a lot highter interest rate than normal investments pay. Give them a 5 year call date, by which time the value will be back up and the new owner can get a bank loan more easily.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: gnu
Date: 05 Jul 08 - 01:22 PM

Sell it in the local "ads for free" rags and on the local net "ads for free". Fact of the matter is, with anything for sale, you will get a resonable price from someone looking to buy said item. You will never get a reasonable price from speculators or auctions... unless it is from someone looking to buy said iten... and they will be checking out the other venues too.

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Bobert
Date: 05 Jul 08 - 12:22 PM

Well, I understand deficiecies and all that, Rigs, and I'm sorry you lost out but I have a very strong equity position in the house and own the land outright so I'm not concerned about that aspect...

I'm just doing what I promised the P-Vine I would do and that is to try to find out how these work before making the calls... Like if I am an auction house I wouldn't want to pay for advertising and send an auctioner out if I knew the seller had a "reserve price" but as the seller I wouldn't offer the property without one... Which brings up the question... Will the auction house ask me to pay for all the ads??? What percentage is reslistic for the auction house to get if it is sold??? Etc.???

B~

Subject: RE: BS: Thoughts on Real Estate Auctions???
From: Riginslinger
Date: 05 Jul 08 - 11:30 AM

I had to sell some lots that way once--back in the 1980's when whoever was running Ronald Reagan was trying to destroy America. I should mention that I was a civil contractor, and I took the lots over because the original owners couldn't pay me. The auctioneers made out like bandits, but the first mortgage holders didn't come out whole and turned around and sued me for the deficit.
                I discovered later that some of that depends on which state you are in. In some states the bank(s) could not have done that, as I understand it.

Subject: BS: Thoughts on Real Estate Auctions???
From: Bobert
Date: 05 Jul 08 - 11:18 AM

I broke ground on a great spec house last year on 7 acres and finished ity up this past winter,,, It has been listed since it was under roof and shown only 2 or 3 times... The folks who have loooked at it loved it but couldn't afford it... The listing has now expired, the interst on the contrction loan keeps on churnin' and it's time to *pro-act*...

My son-in-law is in Real estate in North Caroline and he says that we might look into contacting an auction company to try to help us get it sold???

I'm not too sure how they operate... Any thouhts before I make these calls???

Thanks ahead of time...

B~