Do you have an auction horror story?

[Ben Stout]

I've purchased a few houses via auction. One was with the infamous Hubzu and I wasn't able to get inside until after I'd purchased it. Someone had beaten up all the walls and the carpets were soaked in urine. It ended up still being a great deal, but it was kind of a reckless purchase. 

I generally avoid quit claim deeds, but even warranty deeds scare me. With some auction sites, if you back out you lose your deposit, which can be $2500 or more. What if the auction closes, you're the high bidder, and then someone runs and records a lien right before you close? That's always been my greatest fear. I guess some people must consider running numerous title searches for houses they don't close on as just a cost of doing business. 

Do you have an auction horror story? 

[Derek W.]

I'm not sure I'd agree that HUBZU is really an auction. But ill answer assuming we're talking about foreclosure auctions. 

I purchased a really nice house half a mile out of town. Turns out it was never hooked to the grid. The cost of hooking it to the grid was more than I paid for the house. 

Another time I bought a house at auction based on a walk around, but couldn't get in as it looked occupied. After I bought it and entered I found the deceased former owner decaying in bed.