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AugMyth #3 - Hidden Fees
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Are there hidden fees and non-refundable deposits in your auctions?
There are no hidden fees in our auctions.
The seller signs a listing contract where all fees and commissions are outlined. The buyer will agree to current terms and conditions when they register for a sale and then will sign a purchase contract if they are the high bidder and the price is accepted by the seller.
Any and all fees are disclosed in these documents. One thing that is different between real estate auctions and retail listings is that we do charge a higher earnest money amount. Where most buyers on a retail listing will place in the neighborhood of $500 or $1,000 in escrow with a contract we charge between 10% to 20% for escrow. This is done at the signing of the purchase contract and is non refundable to the buyer unless clear title to the real estate cannot be given. We run title searches on most of our properties before the auction begins so we are confident that there are no title issues when we go to auction.
There are no hidden fees in our auctions.
The seller signs a listing contract where all fees and commissions are outlined. The buyer will agree to current terms and conditions when they register for a sale and then will sign a purchase contract if they are the high bidder and the price is accepted by the seller.
Any and all fees are disclosed in these documents. One thing that is different between real estate auctions and retail listings is that we do charge a higher earnest money amount. Where most buyers on a retail listing will place in the neighborhood of $500 or $1,000 in escrow with a contract we charge between 10% to 20% for escrow. This is done at the signing of the purchase contract and is non refundable to the buyer unless clear title to the real estate cannot be given. We run title searches on most of our properties before the auction begins so we are confident that there are no title issues when we go to auction.
