30 foreclosed homes put on auction block

By Josh Brown
The Virginian-Pilot
© February 8, 2009

More than 120 people showed up at an auction of 30 foreclosed homes from across Hampton Roads on Tuesday at the Holiday Inn Select in Norfolk.

The properties ranged from boarded-up houses to homes with green lawns and ornate brick facades. The final bid on one ended at $12,500.

"Come on, some of your cars cost more than this now," said auctioneer Larry Makowski.

The highest bid he cajoled from the crowd reached $386,000.

Among the bidders were investors, hopeful first-time home buyers and those looking for a steal on a larger home. Winning bidders had to pony up a $5,000 deposit.

The auction, complete with a keyboarder playing light jazz between sales, was put on by Hudson & Marshall, which operates such auctions throughout the Southeast.

While the banks and lenders that own the houses may reject or counter any final bid that came in too low, the auction house expects 80 percent from Tuesday's event to be accepted, spokeswoman Crystal Wright said.

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Or put a different way...

Submitted by Souper on Tue, 02/10/2009 at 4:17 pm.

Ever see an ebay auction end without a winner because the winning bid did not exceed the minimum amount specified by the seller.

It's still a legit auction, but, as ebay phrases it, "Reserve not met."

Truth regarding auctions

Submitted by Auction1 on Tue, 02/10/2009 at 12:41 pm.

This comment is in response to Those of Ethan and Joanie who wrote in they were of the opinion that if the bank can reject an offer it means it is not a real auction. NOT SO! This is not a "scheme" to unload these properties. The fact that a secured creditor has the right to protect their interest and have what is referred to as a "reserve" does not mean it is not a real auction. Quite the contrary, Auctions are either "reserve" or "absolute". Even if the bank has a "reserve" there are still great deals out their for consumers. Please feel free to e-mail me back and I will happily explain this to you in more detail. There is nothing sercretive or shady about it. karen@atlanticREmarketing.com

Ethan got to it before me.

Submitted by joanie06 on Mon, 02/09/2009 at 5:01 pm.

Ethan got to it before me. If the bank can reject the final bid it is truly not an auction. Just another scheme to unload these homes.

This comment is awaiting staff approval.

Submitted by Ethan on Sun, 02/08/2009 at 9:47 pm.

The fact that the bank and lender can reject the offer means it is not a real auction. It's a gimmick, a lame attempt at sales. This is not a real attempt to unload properties at market value. I wouldn't waste my time, other than to heckle them. But I guess we should thank the knife catchers, for they mark to market the declining values of the overpriced pressboard boxes.