By Kirk Laubenstein
Photo: Whitney Crispell
The City of Buffalo IN REM Tax Foreclosure Auction is closer than you think. This year it will be held on October 25-27th 2010 at the Buffalo Convention Center. The auction usually gets started by 9am each day. The City has put up a website on which you can find properties currently on the auction list (click here). This list will dwindle down significantly as taxes, user fees and water bills are paid off by the property owners, so check back often.
Individuals or organizations hoping to purchase properties at the IN REM auction need to be prepared not only for the auction itself but the responsibility of owning the property. Often times bidders purchase houses without having prior access to the interior. The best sort of buyer at an auction like this is someone who has a decent understanding of how a house works and is fairly good at fixing problems. The new owner will likely need a fair amount of money to complete the rehab work once they actually take title of the property, which won’t be for at least a month or two.
You need to register in order to bid on properties at the auction. Registration is free but you need to have a valid form of photo ID. You can also purchase the list of all the properties that are up for auction at the time of registration for $5.00. The winning bidder needs to have 20% of the winning bid price or $500.00 (whichever is greater) in hand at the auction in cash, money order, bank draft or travelers checks This deposit is to be paid to the City of Buffalo immediately after the bidding ends. A sample of the Memorandum of Understanding the City requires each winning bidder to sign is located online (Click here).
It helps to come to the auction with more than one house in mind that you would like to bid on as sometimes the house you want is pulled off at the last minute or the property may be above what you would like to spend on it.
As a new homeowner, block club leader and City Resident, I hope to see more responsible individuals and organizations make bids on properties up for auction. I believe the auctions present a great opportunity for neighborhoods and capable owners. If you have any questions, please feel free to contact me at 716-851-5125 or klaubenstein@city-buffalo.com.