How to buy at an auction for foreclosures

[Trevor Richardson]

I miss anything courthouse steps veterans? I know you are out there.

1. Find source of auctions coming up

2. Build a model to manage and underwrite those properties coming to auction

3. Research and underwrite the properties while keeping the list up to date on the properties coming up

4. Going to need a lot of title research, flip and construction numbers, rental data and ARV data

5. Drive the properties right before the auction to finalize your construction budget

6. Pull out straight cash in cashiers check for the auction day (if your max bid is $400,000 you need to take $400,000 out in cashiers checks) to the courthouse. Better have your numbers, max bids and research 100% complete. If you make a mistake there is no going back if you win a bad deal

7. Hope one of the properties comes up and under your max bid…many properties that you worked a lot on will cancel or never go to auction

8. You will need to outbid other really experienced investors there, it’s nasty at the steps, they don’t like rooks

9. You probably don’t get something and have to get the nerve back up to continue the above process day after day till you do win a property

Good luck!