Click on the map to make it larger. As you can see, each state is color coded based on it's type of sale. This map is not entirely accurate! Some states deal with other sale types not reflected by this map.
Tuesday, April 8, 2008
State Investment Type Map
Click on the map to make it larger. As you can see, each state is color coded based on it's type of sale. This map is not entirely accurate! Some states deal with other sale types not reflected by this map.
Wednesday, March 12, 2008
Land vs. Homes
Should I Buy Raw Land or Homes?
Many people starting out in tax sale investing wonder if they should focus their efforts on land or homes. Both have advantages and disadvantages so it is important to consider these up front and decide which will be best for you or if you want to do both.
With homes, there is a greater margin of error because usually there will be more equity in terms of raw dollars. For example, if you buy a piece of land for $500 and the market value is $1,000, there is only $500 for profits and margin of error (in case your research isn’t completely accurate, which can happen, or if things don’t go exactly as you plan). On the other hand, if you get a home for $50,000 that is worth $100,000, there is $50,000 of equity, and thus, a much greater room for that margin of error factor. If you need to, you can sell the home at a significant discount and still make a good profit.
Usually, homes can make you more money per transaction. While this isn’t always the case, it is nice to be able to make a lot of money on each transaction. With land, you may need to do more transactions to make the same amount of money.
Land is more readily available. As you get your property lists, you will likely find that there are more parcels of raw land on the list than there are homes. If you own a home, you probably realize that most people who own a home have a mortgage. Mortgage companies usually require the property taxes to be paid through an escrow account and that portion of the payment is made along with the regular monthly payment. Mortgage companies are careful about making those property tax payments each year so that they can secure their interest in the property.
People are less likely to redeem land than homes. Many properties that end up on a tax sale list do so because the property owners are having financial difficulties. In such circumstances, they may have to prioritize which bills they pay. They are more likely to pay the taxes on their primary residence than on any raw land they own. They are also likely to pay other important bills first and let the land go.
Land is easier to research, especially from a distance. Sometimes it is very difficult to research homes you can’t see for yourself. There is an inherent level of risk in purchasing properties that you cannot inspect first-hand. That same risk is much less with land since there is less that could go wrong.
There is less competition. Some people decide they only want to purchase homes at tax sales. When I started out, that was my feeling. But with so many people competing for home and with less homes available than land (generally), it becomes very competitive sometimes. That competition may also drive up the winning bid on homes.
Starting bids (and usually winning bids) are usually lower on land. This only makes sense. Since counties are trying to collect property taxes and taxes are based on property values, it usually follows that the amount of taxes due (and usually the starting bids) will be lower on land. This makes land a more affordable option for those who don’t have a lot of money to start investing.
Getting land can still be very profitable. The first auction I ever went to, we got two homes. Our profit on these ended up being between $30,000 and $35,000 on each one. The second auction I went to, we got two building lots of raw land. The profit on these was around $30,000 each.
You can usually sell land faster. Online auctions allow you to sell your properties in a week or so. This can create faster turnaround on your money.
Land generally has fewer liens and other encumbrances that can cut into profits. Having fewer liens also increases the chances that you can sell the property quickly.
John Beck himself focuses on land for many of the reasons listed above. He also buys homes when good opportunities present themselves.
Some of the other coaches I work with purchase exclusively land for their investments. They find many opportunities
Personally, I focus on land and take the homes when they are in my area and good deals come along. I am willing to buy land anywhere in the country as long as my research indicates that there is a good profit to be made and that the property itself is a desirable property. I stick to homes that I can inspect personally, at the very least from the outside.
Many people starting out in tax sale investing wonder if they should focus their efforts on land or homes. Both have advantages and disadvantages so it is important to consider these up front and decide which will be best for you or if you want to do both.
With homes, there is a greater margin of error because usually there will be more equity in terms of raw dollars. For example, if you buy a piece of land for $500 and the market value is $1,000, there is only $500 for profits and margin of error (in case your research isn’t completely accurate, which can happen, or if things don’t go exactly as you plan). On the other hand, if you get a home for $50,000 that is worth $100,000, there is $50,000 of equity, and thus, a much greater room for that margin of error factor. If you need to, you can sell the home at a significant discount and still make a good profit.
Usually, homes can make you more money per transaction. While this isn’t always the case, it is nice to be able to make a lot of money on each transaction. With land, you may need to do more transactions to make the same amount of money.
Land is more readily available. As you get your property lists, you will likely find that there are more parcels of raw land on the list than there are homes. If you own a home, you probably realize that most people who own a home have a mortgage. Mortgage companies usually require the property taxes to be paid through an escrow account and that portion of the payment is made along with the regular monthly payment. Mortgage companies are careful about making those property tax payments each year so that they can secure their interest in the property.
People are less likely to redeem land than homes. Many properties that end up on a tax sale list do so because the property owners are having financial difficulties. In such circumstances, they may have to prioritize which bills they pay. They are more likely to pay the taxes on their primary residence than on any raw land they own. They are also likely to pay other important bills first and let the land go.
Land is easier to research, especially from a distance. Sometimes it is very difficult to research homes you can’t see for yourself. There is an inherent level of risk in purchasing properties that you cannot inspect first-hand. That same risk is much less with land since there is less that could go wrong.
There is less competition. Some people decide they only want to purchase homes at tax sales. When I started out, that was my feeling. But with so many people competing for home and with less homes available than land (generally), it becomes very competitive sometimes. That competition may also drive up the winning bid on homes.
Starting bids (and usually winning bids) are usually lower on land. This only makes sense. Since counties are trying to collect property taxes and taxes are based on property values, it usually follows that the amount of taxes due (and usually the starting bids) will be lower on land. This makes land a more affordable option for those who don’t have a lot of money to start investing.
Getting land can still be very profitable. The first auction I ever went to, we got two homes. Our profit on these ended up being between $30,000 and $35,000 on each one. The second auction I went to, we got two building lots of raw land. The profit on these was around $30,000 each.
You can usually sell land faster. Online auctions allow you to sell your properties in a week or so. This can create faster turnaround on your money.
Land generally has fewer liens and other encumbrances that can cut into profits. Having fewer liens also increases the chances that you can sell the property quickly.
John Beck himself focuses on land for many of the reasons listed above. He also buys homes when good opportunities present themselves.
Some of the other coaches I work with purchase exclusively land for their investments. They find many opportunities
Personally, I focus on land and take the homes when they are in my area and good deals come along. I am willing to buy land anywhere in the country as long as my research indicates that there is a good profit to be made and that the property itself is a desirable property. I stick to homes that I can inspect personally, at the very least from the outside.
Performing Market Analysis
Market Analysis Basics
The market analysis process is how you will determine how much you think you can sell the property for. Once you have determined that amount, you can decide how much you are willing to bid on a property at auction.
You will want to have a formula for determining how much you are willing to bid. A simple one would be:
How much you think can sell the property for- (minus) your minimum profit margin- (minus) your margin of error
Your maximum bid
If you want to be conservative, determine the low side of the value range in which you think you can sell the property.
You always want to have a minimum profit margin and a margin of error built in to your formula. This is because without a profit margin, you aren’t making money, and without a margin of error, you don’t allow for anything to go wrong. What if your research wasn’t exactly accurate (hey, we all make mistakes, right)? And what if everything doesn’t go exactly as you had planned?
The 50% Rule:John Beck likes to use the 50% rule. This just means that he is willing to pay 50% of what he can sell the property for. For example, if his market analysis determines that he can sell a property for $2,000, he will pay up to $1,000 as a maximum bid.
This formula takes into account the profit margin and margin of error. If you are extremely confident in your market analysis, you may go a little over the 50% rule or if you are unsure in a particular area, you may go less than 50%.
You can change your maximum bid as you get more information about a property, but once you get to the auction, I suggest that you stick with what you have determined. There are two main reasons for this:
You don’t know how high the guy bidding against you is willing to go. It might be $5 over your maximum bid or it might be $10,000 more. You won’t know unless you engage in a bidding war.
Whenever you bid more than what you had established as your maximum bid, you are either eating into your profit margin or your margin of error, neither of which is good!
As you get more and more comfortable with the market analysis process, your ability to determine how much a property can sell for will get better and better. This will help you be more confident that you are getting only the properties that can be sold for a profit.
How much can the property be sold for?
To answer this question, you will want to keep several things in mind.
You should have the assessed value and the fair market value of the property from the county assessor’s office. You can get this from the county itself, or it may be available on the following website:
http://publicrecords.netronline.com/
To get the assessed value, click on the state you want.Then, click on the county you want.Click on “Go to Data Online” for the County Assessor, if it is available. If not, use the phone number provided, and ask how you can access the county’s records on property.If you need to call the county, have them look up a few properties at a time, and within a few days you will have them all done.
If you only have the assessed value, find out how the assessed value is determined. For example, in some states, the assessed value is the same as what the county considers to be the fair market value. In other states, the assessed value may be a percentage of fair market value:
Michigan’s Constitution says that the assessed value cannot be more than 50% of the fair market value.
In Arkansas, the assessed value is equal to 20% of fair market value.
Where I live, the assessed value is 55% of market value for residential properties and 100% of market value for commercial properties.
This should help you know what the county thinks the fair market value of the property is. However, this is just a starting point. I never completely trust the county’s assessment nor do I use that as the only method of determining the property’s value.
2) You can find out in many cases from the county recorder’s office what the property has sold for in the past. If you know what it has sold for in the past and you know the market trends in the area since those past sales, it might give you an even more accurate indication of what the property might be worth.
3) You may also be able to find out from the county recorder’s office what other surrounding properties have sold for in the past. Sometimes these will even be more recent sales. And if the properties are similar, it can give you a good idea of what the property might sell for.
The above information is helpful in determining a property value. But usually the most accurate measure of how much a property can sell for is finding comparable sales.
4) You will want to find several “comparable sales” in the area from other sources. Comparable sales are properties that are similar to the one you are researching that have sold in the area within the last 6 months (or 12 months if there aren’t very many within 6 months). You will want to find out what these properties sold for and under what conditions. For example, was it a normal sales transaction, or was the property foreclosed on and sold at auction? Was the seller under some sort of distress (about to be foreclosed on, being transferred to a different part of the country for a job and needed to sell quickly, etc.) and therefore more motivated to sell than a normal person would be? Knowing this will help you determine if it is truly representative of what the property you are researching might sell for.
Your resources for finding comparable sales will be different if you are researching a home versus if you are researching raw land. These will be discussed in two separate additional modules.
You will want to find out how much can the property be sold for through each available selling method.
You may find that you can sell a property for more money through one method than through another. In order to determine this, you will need to research the market value through each method (through a Realtor, For Sale By Owner, through an online auction, or another method you are considering). For example, you may find that you can sell a property for twice as much by using a Realtor than you could through an online auction. In this case, you should if the length of time required to sell it through that method is acceptable to you. Once you have determined which sales method will yield the best profit in an acceptable time frame, you will determine the maximum bid you will place at the auction based on what you can sell the property for through your chosen sales method.
All of the information you obtain about a property through both the Screening Process and through Market Analysis will help you determine whether or not a property will be profitable if you decide to obtain it through a tax sale.
The market analysis process is how you will determine how much you think you can sell the property for. Once you have determined that amount, you can decide how much you are willing to bid on a property at auction.
You will want to have a formula for determining how much you are willing to bid. A simple one would be:
How much you think can sell the property for- (minus) your minimum profit margin- (minus) your margin of error
Your maximum bid
If you want to be conservative, determine the low side of the value range in which you think you can sell the property.
You always want to have a minimum profit margin and a margin of error built in to your formula. This is because without a profit margin, you aren’t making money, and without a margin of error, you don’t allow for anything to go wrong. What if your research wasn’t exactly accurate (hey, we all make mistakes, right)? And what if everything doesn’t go exactly as you had planned?
The 50% Rule:John Beck likes to use the 50% rule. This just means that he is willing to pay 50% of what he can sell the property for. For example, if his market analysis determines that he can sell a property for $2,000, he will pay up to $1,000 as a maximum bid.
This formula takes into account the profit margin and margin of error. If you are extremely confident in your market analysis, you may go a little over the 50% rule or if you are unsure in a particular area, you may go less than 50%.
You can change your maximum bid as you get more information about a property, but once you get to the auction, I suggest that you stick with what you have determined. There are two main reasons for this:
You don’t know how high the guy bidding against you is willing to go. It might be $5 over your maximum bid or it might be $10,000 more. You won’t know unless you engage in a bidding war.
Whenever you bid more than what you had established as your maximum bid, you are either eating into your profit margin or your margin of error, neither of which is good!
As you get more and more comfortable with the market analysis process, your ability to determine how much a property can sell for will get better and better. This will help you be more confident that you are getting only the properties that can be sold for a profit.
How much can the property be sold for?
To answer this question, you will want to keep several things in mind.
You should have the assessed value and the fair market value of the property from the county assessor’s office. You can get this from the county itself, or it may be available on the following website:
http://publicrecords.netronline.com/
To get the assessed value, click on the state you want.Then, click on the county you want.Click on “Go to Data Online” for the County Assessor, if it is available. If not, use the phone number provided, and ask how you can access the county’s records on property.If you need to call the county, have them look up a few properties at a time, and within a few days you will have them all done.
If you only have the assessed value, find out how the assessed value is determined. For example, in some states, the assessed value is the same as what the county considers to be the fair market value. In other states, the assessed value may be a percentage of fair market value:
Michigan’s Constitution says that the assessed value cannot be more than 50% of the fair market value.
In Arkansas, the assessed value is equal to 20% of fair market value.
Where I live, the assessed value is 55% of market value for residential properties and 100% of market value for commercial properties.
This should help you know what the county thinks the fair market value of the property is. However, this is just a starting point. I never completely trust the county’s assessment nor do I use that as the only method of determining the property’s value.
2) You can find out in many cases from the county recorder’s office what the property has sold for in the past. If you know what it has sold for in the past and you know the market trends in the area since those past sales, it might give you an even more accurate indication of what the property might be worth.
3) You may also be able to find out from the county recorder’s office what other surrounding properties have sold for in the past. Sometimes these will even be more recent sales. And if the properties are similar, it can give you a good idea of what the property might sell for.
The above information is helpful in determining a property value. But usually the most accurate measure of how much a property can sell for is finding comparable sales.
4) You will want to find several “comparable sales” in the area from other sources. Comparable sales are properties that are similar to the one you are researching that have sold in the area within the last 6 months (or 12 months if there aren’t very many within 6 months). You will want to find out what these properties sold for and under what conditions. For example, was it a normal sales transaction, or was the property foreclosed on and sold at auction? Was the seller under some sort of distress (about to be foreclosed on, being transferred to a different part of the country for a job and needed to sell quickly, etc.) and therefore more motivated to sell than a normal person would be? Knowing this will help you determine if it is truly representative of what the property you are researching might sell for.
Your resources for finding comparable sales will be different if you are researching a home versus if you are researching raw land. These will be discussed in two separate additional modules.
You will want to find out how much can the property be sold for through each available selling method.
You may find that you can sell a property for more money through one method than through another. In order to determine this, you will need to research the market value through each method (through a Realtor, For Sale By Owner, through an online auction, or another method you are considering). For example, you may find that you can sell a property for twice as much by using a Realtor than you could through an online auction. In this case, you should if the length of time required to sell it through that method is acceptable to you. Once you have determined which sales method will yield the best profit in an acceptable time frame, you will determine the maximum bid you will place at the auction based on what you can sell the property for through your chosen sales method.
All of the information you obtain about a property through both the Screening Process and through Market Analysis will help you determine whether or not a property will be profitable if you decide to obtain it through a tax sale.
Performing Market Analysis, Part 2: Homes
Market Analysis: Comparable Property Research for Homes
If you are researching a home, use the following sources:
Local realtors – Sometimes the best way to sell a home is through a local realtor. You may pay a commission of somewhere in the 6% range, but sometimes you will make more money this way than through another method. For example, if you try to sell a home on the internet, you will find that most people who buy homes this way want a big bargain. You may be able to sell the home for much closer to market value through a realtor, especially if you are willing to wait a little longer than an online auction would take. Also, realtors are usually very willing to help you get the information you need on a home (especially if they know there is a good chance of getting a listing from their efforts).
The reason that Realtors are a great source for comparable sales in the area is that they have access to the MLS (Multiple Listing Service). Through the MLS, they can find similar properties that have recently sold and get possibly the most accurate information about a property’s value.In some areas, you can access the MLS even if you are not a Realtor. To find out if this is available in the area you are researching, go to http://www.google.com/ and in the search box type in “MLS” plus the area you are researching (city and state). If it is a small city, use the largest city that is close for your search. This way you can get the MLS comparable sales listings yourself!!!
http://www.realquest.com/ – This is a great website for getting a variety of reports on properties. For example, it can provide reports on the property’s details, comparable sales, street maps, parcel maps, transaction history (what it has sold for in the past – especially helpful if you can’t get this from the county recorder’s office), flood maps, legal and vesting information (helpful in preparing deeds for the pre-auction acquisition method), neighborhood information, and much more. I recommend that you get on this site and see what types of reports are available. You can see samples of each of the report types before you buy them so you know what you will be getting. The reports are found at www.realquest.com/pro.
http://www.zillow.com/ – This site gives you a valuation estimate on a property based on information it collects from several different sources such as county records, other sales transactions, etc. It is not always accurate, but the website explains which areas it is most accurate in. This is a source of information you can compare with the others to see how accurate it is.
http://mail.eclientaccess.com/exchweb/bin/redir.asp?URL=http://publicrecords.netronline.com/ - This site will give you a link to give you access to county public records, if they are available online. If not, in most cases they will at least give you a phone number to call to access the appropriate county office to find the parcel information that you need.
This site can also provide you with comparable property lists to determine the market value of the property. There is a link along the left-hand side that says, “Comparable Properties”. Click on this link and follow the instructions.
http://www.realtytrac.com/
If you are researching a commercial property, try the following sources:
Local realtors who specialize in commercial properties
http://www.loopnet.com/ - Go to main page and click on “Search Recent Sales” in the middle of the page. Sign up and get comparable lists.
Assignment:
Get comparable sales reports for any homes on your lists that you are interested in purchasing.
Try to determine based on the information you have how much you can sell the property for.
Establish your maximum bid on the property based on the information you have found.
Disclaimer: "The information contained herein is meant for educational purposes only. By presenting this information, Mentoring of America (MOA) and its employees do not render legal, accounting or other professional advice. It is your own personal responsibility to seek professional advice for any specific transaction or investment from those licensed to render such advice. If you require specific legal, tax or accounting advice, seek the advice of a qualified professional."
If you are researching a home, use the following sources:
Local realtors – Sometimes the best way to sell a home is through a local realtor. You may pay a commission of somewhere in the 6% range, but sometimes you will make more money this way than through another method. For example, if you try to sell a home on the internet, you will find that most people who buy homes this way want a big bargain. You may be able to sell the home for much closer to market value through a realtor, especially if you are willing to wait a little longer than an online auction would take. Also, realtors are usually very willing to help you get the information you need on a home (especially if they know there is a good chance of getting a listing from their efforts).
The reason that Realtors are a great source for comparable sales in the area is that they have access to the MLS (Multiple Listing Service). Through the MLS, they can find similar properties that have recently sold and get possibly the most accurate information about a property’s value.In some areas, you can access the MLS even if you are not a Realtor. To find out if this is available in the area you are researching, go to http://www.google.com/ and in the search box type in “MLS” plus the area you are researching (city and state). If it is a small city, use the largest city that is close for your search. This way you can get the MLS comparable sales listings yourself!!!
http://www.realquest.com/ – This is a great website for getting a variety of reports on properties. For example, it can provide reports on the property’s details, comparable sales, street maps, parcel maps, transaction history (what it has sold for in the past – especially helpful if you can’t get this from the county recorder’s office), flood maps, legal and vesting information (helpful in preparing deeds for the pre-auction acquisition method), neighborhood information, and much more. I recommend that you get on this site and see what types of reports are available. You can see samples of each of the report types before you buy them so you know what you will be getting. The reports are found at www.realquest.com/pro.
http://www.zillow.com/ – This site gives you a valuation estimate on a property based on information it collects from several different sources such as county records, other sales transactions, etc. It is not always accurate, but the website explains which areas it is most accurate in. This is a source of information you can compare with the others to see how accurate it is.
http://mail.eclientaccess.com/exchweb/bin/redir.asp?URL=http://publicrecords.netronline.com/ - This site will give you a link to give you access to county public records, if they are available online. If not, in most cases they will at least give you a phone number to call to access the appropriate county office to find the parcel information that you need.
This site can also provide you with comparable property lists to determine the market value of the property. There is a link along the left-hand side that says, “Comparable Properties”. Click on this link and follow the instructions.
http://www.realtytrac.com/
If you are researching a commercial property, try the following sources:
Local realtors who specialize in commercial properties
http://www.loopnet.com/ - Go to main page and click on “Search Recent Sales” in the middle of the page. Sign up and get comparable lists.
Assignment:
Get comparable sales reports for any homes on your lists that you are interested in purchasing.
Try to determine based on the information you have how much you can sell the property for.
Establish your maximum bid on the property based on the information you have found.
Disclaimer: "The information contained herein is meant for educational purposes only. By presenting this information, Mentoring of America (MOA) and its employees do not render legal, accounting or other professional advice. It is your own personal responsibility to seek professional advice for any specific transaction or investment from those licensed to render such advice. If you require specific legal, tax or accounting advice, seek the advice of a qualified professional."
Performing Market Analysis, Part 1: Land
Market Analysis: Comparable Property Research for Land
If you are researching raw land, use the following sources:
http://www.ebay.com/
http://www.bid4assets.com/
Local Realtors (see part 2 of "Performing Market Analysis")
Instructions for finding comparable sales on eBay
Go to the top right and click on “Advanced Search”. (Make sure that you are registered with ebay.com first.)
Keyword = the area that you are researching; subdivision, city, county, or state.
Category = Real Estate
Check the box next to “Completed Listings Only”. This will do a free search that will show you what has ended in the last 15 days.
Click “Search”
Once the search results are displayed:
Gather all properties that are similar or comparable to the one that you are researching on the tax sale list.
Document these properties on a sheet of paper or using Microsoft Excel.
Document the following information on each property:
Did the property sell Y/N? (If the ending bid is Green = Sold, Red = did not sell.)
What is the size of the lot?
What was the ending bid?
Figure out a price per acre using the size of the lot and the ending bid.
Analyze data once documented.
Set a market value for the potential investments according to their size, using the price per acre.
Set a price cap for each one. (Max price you would be willing to pay at the auction according to the market value.)
http://pages.ebay.com/marketplace_research/
This feature will allow you to look at more that 15 days, however it will cost you.
FastPass – $2.99 for 2 day access. 60 days of historical data.
Basic – $9.99 per month. Monthly ongoing subscription fee. 60 days of historical data.
Pro $24.99 per month. Monthly ongoing subscription fee. 90 of historical data.
Avoid the fees to look at listings older than 15 days by the use of the “Save this search” option.
Click advanced search.
Put in the search criteria as listed above except for the “Complete listing only.”
When the search results come up, next to the number of items found it will say “Save this search”
With eBay and bid4assets listings, look at the listing. If the property did not sell for very much, it may be that it was just a bad listing. A better listing will usually yield a higher sales price. So you need to take into account the effectiveness of the listing to determine whether or not the listing you are looking at is an accurate representation of what you might be able to sell the property you are researching for.
Instructions for finding comparable sales on Bid4Assets
Go to the top right and click on “Power Search”
Keyword = the area that you are researching; subdivision, city, county, or state.
Channel = Real Estate
Category = leave alone
Sub-category = leave alone
Location = use state not zip code
State = (desired state)
Status of Asset = Closed & Sold
Date range = leave at 6 months
Sort by = leave alone
Click “Search”
Repeat the same process you just completed on eBay.
Going through this process on both sites will give you a better idea of what the property can sell for through the online auction method and it may help you determine which of these two sites would be better for listing the property you are researching when it comes time for you to sell it.
When you are looking at these auctions on both eBay and Bid4Assets, don't just look at what the prices are, but also look at the ads to see what the differences in the ads are. What is bringing in the better prices? What is wrong with the ads that are not bringing in as much money?
Assignment:
Get comparable sales reports for any land on your lists that you are interested in purchasing.
Try to determine based on the information you have how much you can sell the property for.
Establish your maximum bid on the property based on the results of your market analysis.
Disclaimer: "The information contained herein is meant for educational purposes only. By presenting this information, Mentoring of America (MOA) and its employees do not render legal, accounting or other professional advice. It is your own personal responsibility to seek professional advice for any specific transaction or investment from those licensed to render such advice. If you require specific legal, tax or accounting advice, seek the advice of a qualified professional."
If you are researching raw land, use the following sources:
http://www.ebay.com/
http://www.bid4assets.com/
Local Realtors (see part 2 of "Performing Market Analysis")
Instructions for finding comparable sales on eBay
Go to the top right and click on “Advanced Search”. (Make sure that you are registered with ebay.com first.)
Keyword = the area that you are researching; subdivision, city, county, or state.
Category = Real Estate
Check the box next to “Completed Listings Only”. This will do a free search that will show you what has ended in the last 15 days.
Click “Search”
Once the search results are displayed:
Gather all properties that are similar or comparable to the one that you are researching on the tax sale list.
Document these properties on a sheet of paper or using Microsoft Excel.
Document the following information on each property:
Did the property sell Y/N? (If the ending bid is Green = Sold, Red = did not sell.)
What is the size of the lot?
What was the ending bid?
Figure out a price per acre using the size of the lot and the ending bid.
Analyze data once documented.
Set a market value for the potential investments according to their size, using the price per acre.
Set a price cap for each one. (Max price you would be willing to pay at the auction according to the market value.)
http://pages.ebay.com/marketplace_research/
This feature will allow you to look at more that 15 days, however it will cost you.
FastPass – $2.99 for 2 day access. 60 days of historical data.
Basic – $9.99 per month. Monthly ongoing subscription fee. 60 days of historical data.
Pro $24.99 per month. Monthly ongoing subscription fee. 90 of historical data.
Avoid the fees to look at listings older than 15 days by the use of the “Save this search” option.
Click advanced search.
Put in the search criteria as listed above except for the “Complete listing only.”
When the search results come up, next to the number of items found it will say “Save this search”
With eBay and bid4assets listings, look at the listing. If the property did not sell for very much, it may be that it was just a bad listing. A better listing will usually yield a higher sales price. So you need to take into account the effectiveness of the listing to determine whether or not the listing you are looking at is an accurate representation of what you might be able to sell the property you are researching for.
Instructions for finding comparable sales on Bid4Assets
Go to the top right and click on “Power Search”
Keyword = the area that you are researching; subdivision, city, county, or state.
Channel = Real Estate
Category = leave alone
Sub-category = leave alone
Location = use state not zip code
State = (desired state)
Status of Asset = Closed & Sold
Date range = leave at 6 months
Sort by = leave alone
Click “Search”
Repeat the same process you just completed on eBay.
Going through this process on both sites will give you a better idea of what the property can sell for through the online auction method and it may help you determine which of these two sites would be better for listing the property you are researching when it comes time for you to sell it.
When you are looking at these auctions on both eBay and Bid4Assets, don't just look at what the prices are, but also look at the ads to see what the differences in the ads are. What is bringing in the better prices? What is wrong with the ads that are not bringing in as much money?
Assignment:
Get comparable sales reports for any land on your lists that you are interested in purchasing.
Try to determine based on the information you have how much you can sell the property for.
Establish your maximum bid on the property based on the results of your market analysis.
Disclaimer: "The information contained herein is meant for educational purposes only. By presenting this information, Mentoring of America (MOA) and its employees do not render legal, accounting or other professional advice. It is your own personal responsibility to seek professional advice for any specific transaction or investment from those licensed to render such advice. If you require specific legal, tax or accounting advice, seek the advice of a qualified professional."
Friday, January 18, 2008
How To Prepare For Live Auctions
This is the process I go through when deciding whether to attend an auction or not.
1. Go to the Property Vault to see which counties are holding auctions and how many parcels will be available at the sales. Also, make sure it’s a deed auction unless you are planning on investing in lien certificates or redeemable deeds.
2. Go to Naco.org and the county’s website to double check the information you found on the Vault. You need to check with the county to be sure of the auction date and that they are selling deeds. Find out starting bids and what they represent from the office dealing with the tax sale (see #3). Make sure you ask them all the questions you need to in the same phone call to avoid making them angry!
3. Acquire the list of properties being sold at the auction from the counties website or from the office in charge of the tax sale (Treasurer, Tax-collector, Clerk, Auditor, Sheriff).
4. Start narrowing the list down based on price (starting bid), lot size and dimensions (Assessor‘s office or mapping dept., online county GIS), view satellite image (Google Earth, Local.live.com, topozone.com), research liens (property records search online, Recorder‘s office), and do a market analysis (call an agent in the county and check online auction sites)
6. Find out when the deed will be recorded in your name and if there are any restrictions dealing with selling the property so you know your turnaround time. This information can be obtained by contacting the county recorder or the office in charge of the tax sale (see #3).
5. Set maximum bid amounts based on the starting bid and what you can sell the property for, plan out additional expenses including any liens you might be paying, and set up financing for the properties. Have payment ready in whatever form the county requires. Make sure you know when properties must be paid for by (at the auction, same day, etc.)
6. Make sure you know what offices deal with parcel maps (Assessor or other), recording deeds, and recording liens (usually the Recorder’s office and possibly the Probate Court) so you can visit them previous to the auction and double check any online research you have done.
7. Have an exit strategy in place to maximize profits and minimize holding time on your property. Know whether you will be selling your property through an agent, online, etc.
1. Go to the Property Vault to see which counties are holding auctions and how many parcels will be available at the sales. Also, make sure it’s a deed auction unless you are planning on investing in lien certificates or redeemable deeds.
2. Go to Naco.org and the county’s website to double check the information you found on the Vault. You need to check with the county to be sure of the auction date and that they are selling deeds. Find out starting bids and what they represent from the office dealing with the tax sale (see #3). Make sure you ask them all the questions you need to in the same phone call to avoid making them angry!
3. Acquire the list of properties being sold at the auction from the counties website or from the office in charge of the tax sale (Treasurer, Tax-collector, Clerk, Auditor, Sheriff).
4. Start narrowing the list down based on price (starting bid), lot size and dimensions (Assessor‘s office or mapping dept., online county GIS), view satellite image (Google Earth, Local.live.com, topozone.com), research liens (property records search online, Recorder‘s office), and do a market analysis (call an agent in the county and check online auction sites)
6. Find out when the deed will be recorded in your name and if there are any restrictions dealing with selling the property so you know your turnaround time. This information can be obtained by contacting the county recorder or the office in charge of the tax sale (see #3).
5. Set maximum bid amounts based on the starting bid and what you can sell the property for, plan out additional expenses including any liens you might be paying, and set up financing for the properties. Have payment ready in whatever form the county requires. Make sure you know when properties must be paid for by (at the auction, same day, etc.)
6. Make sure you know what offices deal with parcel maps (Assessor or other), recording deeds, and recording liens (usually the Recorder’s office and possibly the Probate Court) so you can visit them previous to the auction and double check any online research you have done.
7. Have an exit strategy in place to maximize profits and minimize holding time on your property. Know whether you will be selling your property through an agent, online, etc.
Thursday, January 10, 2008
Friday, December 21, 2007
Online Auction Listing Services
Creating an effective listing on eBay or Bid4assets can be difficult to do. Many people use listing services to make professional looking ads. While most of these services cost money, http://www.biggerbids.com/ offers free ad creation that turns your property description and pictures into HTML that you can use on eBay. This HTML can be edited to suit the preferences of the user (if the user knows what they are doing!) If you are interested in checking out other useful auction tools, go to http://www.auctiva.com/ (free and made for eBay), http://www.auction-builder.com/default.aspx (free), http://www.alienauctiontools.com/ (not free), or http://www.robshelp.com/. If you would like to create your own listing using HTML, there is a free editor called Sea Monkey that is fairly easy to use. You can download it here http://www.seamonkey-project.org/ and learn how to use it at this site http://www.lis.uiuc.edu/itd/tutorials/SeaMonkey/.
Monday, December 10, 2007
Online Auction Sites
Here are some online auction sites to get you started. There are many other sites out there waiting to be found. I came across these by researching counties and making phone calls; that is how you learn about them! Please make sure that you read all of the documentation on these sites before bidding! I will post more in the future on using these sites and maximizing our opportunities online.
New York State Auctions
Brzostek's NY Auctions
Michigan State Auction Site
New York State Auctions
Brzostek's NY Auctions
Michigan State Auction Site
Michigan State Leftovers
Indiana State Auctions
FL, AZ, MD Lien and Deed Sales
Nebraska Leftovers
California Online Auctions
Arkansas State Auctions and Leftovers Also use these two sites to help with research in AR: http://actdatascout.com/ and http://arcountydata.com/
New Jersey Lien Information
Texas Struck-Off Property
Texas Struck-Off Property 2
Indiana State Auctions
FL, AZ, MD Lien and Deed Sales
Nebraska Leftovers
California Online Auctions
Arkansas State Auctions and Leftovers Also use these two sites to help with research in AR: http://actdatascout.com/ and http://arcountydata.com/
New Jersey Lien Information
Texas Struck-Off Property
Texas Struck-Off Property 2
Texas Struck-Off Property 3
Alaska Leftovers (Click on "Buy Land")
Alabama Leftovers
Mississippi Leftovers
Wisconsin Leftovers
New Mexico State Auctions
Alaska Leftovers (Click on "Buy Land")
Alabama Leftovers
Mississippi Leftovers
Wisconsin Leftovers
New Mexico State Auctions
Grant Street (Several States, Includes RealAuction.com and LienAuction.com)
Bid4assets Tax Sales
eBay Live Auctions (Category: Real Estate)
Bid4assets Tax Sales
eBay Live Auctions (Category: Real Estate)
Other County Auction Sites
Apache County, AZ January 2009
Maricopa County, AZ January 2009
Butte County, CA June
Monterey County, CA April
Plumas Co. CA May
San Bernardino County, CA May, August
San Francisco County, CA April
Sonoma County, CA August
Ada County, ID May
Clay County, FL May
Lake County, FL May
Lee County, FL May
Leon County, FL May
Levy County, FL May
Pasco County, FL May
Polk County, FL May
Antrim County, MI September
Barry County, MI July
Bay County, MI July, August
Chippewa County, MI August
Genesee County, MI September
Ionia County, MI July
Jackson County, MI September
Kent Coounty, MI July
Lake County, MI July
Monroe County, MI August
Muskegon County, MI July
Saginaw County, MI September
"Thumb" Counties, MI August
Upper Peninsula Counties, MI August
Washtenaw County, MI August
Enviromapper
Identify Environment Concerns
Environmapper is a web site that is designed and maintained by the E.P.A. (Environmental Protection Agency) This allows investors to look up an area and see if it is next to an environmental hazard.
• Go to epa.gov/envirofw/
• On the left hand side in the middle under “Quick Start” Enter in a zip code in which you would like to search for.
• After a map appears: click under the map where it says “To view the above map interactively, click EnviroMapper”
• This will give you a map that you can move up and down, left, and right; You will also be able to zoom in and out.
• Click on the different colored squares that indicate regulated sites
o Black: Multi-activities
o Orange: Superfund
o Turquoise: Toxic Releases
o Red: Water discharges
o Blue: Air Emissions
o Green: Hazardous waste
• In the top of the right-hand corner there are 3 tabs called Features, Legend, and Facilities. You can click on all of the 3 tabs. If you place the cursor over the square then the name of the facility represented will appear.
• If you right-click any of the facilities then it will give you an address and well as 2 boxes to click on; One says “Map this facility” and the 2nd says, “EPA Facility Information”
• Click on the button that says “”EPA Facility Information” and this will give you tons of information about each facility
• At the bottom of the map you can zoom in and out, and you can also change the background from atlas map, aerial photo, and topo map.
• When you zoom in, it only zooms into the location in the middle of the map.
• You can find a lot of information about the environmental concerns in the area by using this site.
• Note down the longitude and the latitude of facilities that you would like to investigate more. We can do more research with topozone.
The Site should be used when investing in property you are unfamiliar with, but you will be surprised at what you can find in your own neighborhood. Be sure to do the due diligence necessary to verify the property is in a secure area away from hazardous area or facilities.
Environmapper is a web site that is designed and maintained by the E.P.A. (Environmental Protection Agency) This allows investors to look up an area and see if it is next to an environmental hazard.
• Go to epa.gov/envirofw/
• On the left hand side in the middle under “Quick Start” Enter in a zip code in which you would like to search for.
• After a map appears: click under the map where it says “To view the above map interactively, click EnviroMapper”
• This will give you a map that you can move up and down, left, and right; You will also be able to zoom in and out.
• Click on the different colored squares that indicate regulated sites
o Black: Multi-activities
o Orange: Superfund
o Turquoise: Toxic Releases
o Red: Water discharges
o Blue: Air Emissions
o Green: Hazardous waste
• In the top of the right-hand corner there are 3 tabs called Features, Legend, and Facilities. You can click on all of the 3 tabs. If you place the cursor over the square then the name of the facility represented will appear.
• If you right-click any of the facilities then it will give you an address and well as 2 boxes to click on; One says “Map this facility” and the 2nd says, “EPA Facility Information”
• Click on the button that says “”EPA Facility Information” and this will give you tons of information about each facility
• At the bottom of the map you can zoom in and out, and you can also change the background from atlas map, aerial photo, and topo map.
• When you zoom in, it only zooms into the location in the middle of the map.
• You can find a lot of information about the environmental concerns in the area by using this site.
• Note down the longitude and the latitude of facilities that you would like to investigate more. We can do more research with topozone.
The Site should be used when investing in property you are unfamiliar with, but you will be surprised at what you can find in your own neighborhood. Be sure to do the due diligence necessary to verify the property is in a secure area away from hazardous area or facilities.
Pre-Auction Letter
Pre-Auction Method Basics
The pre-auction acquisition method is a strategy by which you will be contacting property owners directly BEFORE a tax deed auction with the purpose of offering to buy the property directly from the owner.
If a property owner lets his/her property go to auction and it is sold there, in most cases the owner will receive nothing. So by offering to purchase the property before the auction, you will allow the owner to receive at least some compensation for a property that he/she would otherwise get nothing for.
There are a couple of main reasons why a property owner would allow a property to go to auction:
They can’t pay the taxes (financial reasons)
They don’t want the property (perhaps they inherited the property and live across the country and have no use for the property themselves)
Keep in mind that most people who want to keep their properties will do everything they can to redeem the taxes so that they don’t lose the property at auction. The pre-auction acquisition method targets that percentage of people who either cannot find a way to redeem the property or who otherwise don’t want to keep the property.
There are three huge advantages to using this strategy over waiting until the auction.
1) It eliminates most of the competition you would otherwise have at the auction. Auctions are starting to become more popular and more competitive as people realize there is money to be made.
2) You do not have to travel to the county to participate in the auction. The majority of counties require you to be present to participate in any auction for properties that are being offered for the first time. However, with the pre-auction acquisition method, you can buy properties BEFORE they are ever offered at auction in almost all DEED states and you will not have to travel to participate.
3) You get clear title to the property. Some tax sale properties have a litigation period associated with them where a property owner has a very slim chance of overturning the sale of their property. The time period varies from days to years depending on where you are investing. During this time there is a clouded title on the property; you own it but a bank won't lend money to someone trying to buy it from you. A title can be cleared by contacting the county and going through the required process they have in place, or it will just clear in time.
Be aware that the pre-auction acquisition method works best in TAX DEED states (which is GREAT if you want to get properties that you can turn around and sell quickly for a profit). In tax lien certificate states, owners have a 2-3 year redemption period and so they still have plenty of time to come up with the money to redeem their property before they lose it. So they have very little incentive to sell you the property right before the initial tax lien sale.
The first thing you will need to do is determine if the pre-auction method will work in the county you are interested in.
2 Strategies for the Pre-Auction Acquisition Method:
Shotgun Method – In this method, you contact many owners of properties on tax delinquent lists without doing any research on the property itself. When an owner expresses interest in your offer, then you do the necessary research to determine if you want to buy the property.
If you use the shotgun approach, you will complete your tasks in the following order:
Get a list of deed properties that will be available at a sale upcoming in the next 4-8 weeks (this allows you time to complete the process in most cases).
Send out a letter to the owner.
Follow up with a phone call a week later and arrange the sale.
Get the deed to the property from the owner after they sign it and get it notarized.
Research the property and its title.
Record the deed in your name (or your business name) and send the owner his/her money.
Redeem the taxes with the county.
Pre-research Method – In this method, you screen the property lists by doing your research before you contact any owners. You then contact only the owners of the properties you are interested in buying. This is the method John Beck uses.
If you use the shotgun approach, you will complete your tasks in the following order:
1) Get a list of deed properties that will be available at a sale upcoming in the next 4-8 weeks.
2) Research the properties and decide which ones you would like to purchase.
3) Contact the owners of the properties you are interested in and arrange the sale.
4) Get the deed to the property from the owner.
5) Research the property’s title.
6) Record the deed in your name (or your business name) and send the owner his/her money.
7) Redeem the taxes with the county.
There are advantages and disadvantages to both methods.
The advantage to the shotgun method is that you don’t have to spend a lot of time researching properties that may not even be available to you. You only spend time on the ones that are possible deals.
The advantage to the pre-research method is that you won’t be spending money on letters and postage or time creating deeds for properties that you ultimately won’t be interested in.
You need to decide which one will work best for you, or if you want to use both methods. Try both methods and see which one is most profitable.
THINGS TO KNOW
A list should be for an auction happening 4-8 weeks out – this gives you and the property owner time to complete the transaction before the auction. Keep in mind that if you want to get this done before the auction, you have to meet the county’s “drop-dead date” (the last date and time the property can be redeemed before the auction). Not only do you have to work things out with the owner, but you also must redeem the delinquent taxes before the “drop-dead date”.
Criteria for determining who should get a letter should be based on whether or not you can afford to pay the taxes and whether the property owner is a business or individual (go with the individuals).
Some people like to just send out letters to start with. However, calling the owner before the letter is sent can be very useful to determine their interest. If you get a voice mail, do not leave a message. Those calls are hardly ever returned. Try calling three different times. If you cannot reach them by the third try, send out the letter.
Example of a pre-auction letter:
Your Name
Address
Phone #
Date
Phillip Hinesworth
83 Possum Trot Dr.
Shelbyville, TN 58712
Dear Phillip,
My wife and I own several properties in Crabapple Lakes and we are interested in buying several more.
According to the official County records currently available to us, you own the following Crabapple Lakes lot:
Legal Description: Phase 1, Unit 3, Block 8, Lot 2, Crabapple Lakes
The records of the County Treasurer’s Office show that your property has three years of delinquent real property taxes and that it’s now eligible to be sold at the County’s next tax sale (e.g. real property tax deed foreclosure sale).
We know that because of delinquent property taxes and, especially the accumulation of many months of delinquent Crabapple Lakes Property Owner’s Association Maintenance Fees that many of the Crabapple Lakes property owners are abandoning their properties to the tax sale, and, consequently, receiving nothing for them.
If you are going to abandon your property and let it go to the tax sale, then we are interested in buying it. We will become responsible for your property taxes and, additionally, pay you $300.
If you want to sell your property then you must do the following:
1.Sign the enclosed deed, transferring title to your property from you to us in the presence of a notary public (an individual who can usually be found in any bank or financial institution). We will reimburse you the cost of the notary fee as well, which runs between $0 - $15, just let us know the amount.
2.Thereafter, send us the signed deed in the enclosed, self-addressed, stamped envelope.
Upon receipt of your deed we will have the title to your property researched to verify that you have clear title and that the property is buildable. Upon such verification we will send you a check for the $300.00 together with the cost of the notary fee.
If you need to contact us you can either call us at (888) 888-8888 or email us at yourname@gmail.com . If nobody answers the phone when you call then please leave a message together with your name, phone number, and the best times to call you back.
Sincerely,
Your Name
The pre-auction acquisition method is a strategy by which you will be contacting property owners directly BEFORE a tax deed auction with the purpose of offering to buy the property directly from the owner.
If a property owner lets his/her property go to auction and it is sold there, in most cases the owner will receive nothing. So by offering to purchase the property before the auction, you will allow the owner to receive at least some compensation for a property that he/she would otherwise get nothing for.
There are a couple of main reasons why a property owner would allow a property to go to auction:
They can’t pay the taxes (financial reasons)
They don’t want the property (perhaps they inherited the property and live across the country and have no use for the property themselves)
Keep in mind that most people who want to keep their properties will do everything they can to redeem the taxes so that they don’t lose the property at auction. The pre-auction acquisition method targets that percentage of people who either cannot find a way to redeem the property or who otherwise don’t want to keep the property.
There are three huge advantages to using this strategy over waiting until the auction.
1) It eliminates most of the competition you would otherwise have at the auction. Auctions are starting to become more popular and more competitive as people realize there is money to be made.
2) You do not have to travel to the county to participate in the auction. The majority of counties require you to be present to participate in any auction for properties that are being offered for the first time. However, with the pre-auction acquisition method, you can buy properties BEFORE they are ever offered at auction in almost all DEED states and you will not have to travel to participate.
3) You get clear title to the property. Some tax sale properties have a litigation period associated with them where a property owner has a very slim chance of overturning the sale of their property. The time period varies from days to years depending on where you are investing. During this time there is a clouded title on the property; you own it but a bank won't lend money to someone trying to buy it from you. A title can be cleared by contacting the county and going through the required process they have in place, or it will just clear in time.
Be aware that the pre-auction acquisition method works best in TAX DEED states (which is GREAT if you want to get properties that you can turn around and sell quickly for a profit). In tax lien certificate states, owners have a 2-3 year redemption period and so they still have plenty of time to come up with the money to redeem their property before they lose it. So they have very little incentive to sell you the property right before the initial tax lien sale.
The first thing you will need to do is determine if the pre-auction method will work in the county you are interested in.
2 Strategies for the Pre-Auction Acquisition Method:
Shotgun Method – In this method, you contact many owners of properties on tax delinquent lists without doing any research on the property itself. When an owner expresses interest in your offer, then you do the necessary research to determine if you want to buy the property.
If you use the shotgun approach, you will complete your tasks in the following order:
Get a list of deed properties that will be available at a sale upcoming in the next 4-8 weeks (this allows you time to complete the process in most cases).
Send out a letter to the owner.
Follow up with a phone call a week later and arrange the sale.
Get the deed to the property from the owner after they sign it and get it notarized.
Research the property and its title.
Record the deed in your name (or your business name) and send the owner his/her money.
Redeem the taxes with the county.
Pre-research Method – In this method, you screen the property lists by doing your research before you contact any owners. You then contact only the owners of the properties you are interested in buying. This is the method John Beck uses.
If you use the shotgun approach, you will complete your tasks in the following order:
1) Get a list of deed properties that will be available at a sale upcoming in the next 4-8 weeks.
2) Research the properties and decide which ones you would like to purchase.
3) Contact the owners of the properties you are interested in and arrange the sale.
4) Get the deed to the property from the owner.
5) Research the property’s title.
6) Record the deed in your name (or your business name) and send the owner his/her money.
7) Redeem the taxes with the county.
There are advantages and disadvantages to both methods.
The advantage to the shotgun method is that you don’t have to spend a lot of time researching properties that may not even be available to you. You only spend time on the ones that are possible deals.
The advantage to the pre-research method is that you won’t be spending money on letters and postage or time creating deeds for properties that you ultimately won’t be interested in.
You need to decide which one will work best for you, or if you want to use both methods. Try both methods and see which one is most profitable.
THINGS TO KNOW
A list should be for an auction happening 4-8 weeks out – this gives you and the property owner time to complete the transaction before the auction. Keep in mind that if you want to get this done before the auction, you have to meet the county’s “drop-dead date” (the last date and time the property can be redeemed before the auction). Not only do you have to work things out with the owner, but you also must redeem the delinquent taxes before the “drop-dead date”.
Criteria for determining who should get a letter should be based on whether or not you can afford to pay the taxes and whether the property owner is a business or individual (go with the individuals).
Some people like to just send out letters to start with. However, calling the owner before the letter is sent can be very useful to determine their interest. If you get a voice mail, do not leave a message. Those calls are hardly ever returned. Try calling three different times. If you cannot reach them by the third try, send out the letter.
Example of a pre-auction letter:
Your Name
Address
Phone #
Date
Phillip Hinesworth
83 Possum Trot Dr.
Shelbyville, TN 58712
Dear Phillip,
My wife and I own several properties in Crabapple Lakes and we are interested in buying several more.
According to the official County records currently available to us, you own the following Crabapple Lakes lot:
Legal Description: Phase 1, Unit 3, Block 8, Lot 2, Crabapple Lakes
The records of the County Treasurer’s Office show that your property has three years of delinquent real property taxes and that it’s now eligible to be sold at the County’s next tax sale (e.g. real property tax deed foreclosure sale).
We know that because of delinquent property taxes and, especially the accumulation of many months of delinquent Crabapple Lakes Property Owner’s Association Maintenance Fees that many of the Crabapple Lakes property owners are abandoning their properties to the tax sale, and, consequently, receiving nothing for them.
If you are going to abandon your property and let it go to the tax sale, then we are interested in buying it. We will become responsible for your property taxes and, additionally, pay you $300.
If you want to sell your property then you must do the following:
1.Sign the enclosed deed, transferring title to your property from you to us in the presence of a notary public (an individual who can usually be found in any bank or financial institution). We will reimburse you the cost of the notary fee as well, which runs between $0 - $15, just let us know the amount.
2.Thereafter, send us the signed deed in the enclosed, self-addressed, stamped envelope.
Upon receipt of your deed we will have the title to your property researched to verify that you have clear title and that the property is buildable. Upon such verification we will send you a check for the $300.00 together with the cost of the notary fee.
If you need to contact us you can either call us at (888) 888-8888 or email us at yourname@gmail.com . If nobody answers the phone when you call then please leave a message together with your name, phone number, and the best times to call you back.
Sincerely,
Your Name
PREPARING DEEDS
You will prepare the deed by going to www.vuwriter.com (you must sign up for this free site) and clicking on forms on the left-hand side of the page. Then you will see abbreviations for every state in the United States. Pick one of those states and there are several documents for each state, including deeds. These deeds have been prepared by a title company and have everything that the different states require for a deed. Find the quitclaim deed for the desired state and click on the deed. A document will appear and you need to copy the information and paste it into MS Word or another word processor so that you can manipulate the document.
You can also go to www.google.com and search for "quit claim deed (state name)" and find many professionally created "PDF" quit claim deeds that are free to download and use.
Selling Property Online
The Concept of Selling
On www.bid4assets.com there is an option of selling called The Easy Listing Process which is quick, easy and only takes a couple of minutes! It is ideal for sellers who want to list an asset with a basic description, a thumbnail photo and settlement terms.
Technical Specs for EZ Lister
·Do not use a Mac. EZ Lister works best on a personal computer or laptop running windows.
·It is strongly recommended that you use a recent version of Internet Explorer
On www.ebay.com you will want to list an item as an auction rather than a real estate listing. This will take you to the area of the site where you can begin your ad.
Creating a Title for the Property Listing
This section allows you to provide all relevant information on your asset, as well as inspection details, settlement terms, and any additional terms of sale.
It is important to choose an informative yet concise title for your asset.
TITLE: "California Land: 0.36 Acres of Vacant Residential Land in Los Angeles, CA”
SUBTITLE: “16.84 Miles from the Ocean, near Burbank, CA”
Basic Property Description
Real Estate: Remember to include the following information:
* APN Number (Assessor’s Parcel Number)
* Complete legal description (required)
* Size of property
* Zoning
* Annual taxes/dues
* Utilities available
* Improvements
* Appraised value
* Some comparables in the area
* The telephone number or website for the county (recommended), etc. POA (Property Owner’s Association) or HOA (Home Owner’s Association) dues.
* Enter any additional settlement terms, such as: "Payment must be received within 5 days of the close of the auction."
Auction Requested Timeline
It would be good to let the auction run from Wednesday to Wednesday OR Thursday to Thursday. This gives the buyer adequate time to research the property if they find the property on the weekend. Seven days is a good timeline for vacant land. If the property has a home or building then you might want to double or triple the timeline. (2 to 3 weeks)
Bid4Assets may review each asset listing before making it publicly available. This normally takes 1-2 business days. If your auction is released prior to the start date, it will appear on the site in preview.
On www.ebay.com it will be up to you to edit the listing, and they will not be reviewed. It is a good to have somebody else such as a friend or your coach edit your site because they will catch the imperfections on the site.
I would recommend that you end the auction at 6:00 p.m. Pacific Time. This way you can give everybody in the United States a chance to bid on the property.
Pictures
I strongly recommend that you upload pictures (must be gif/jpeg) of your property if you have one available. If you can get some pictures of the property then you will sell the property for a higher amount. Pictures of the property help promote your item and make it more appealing to buyers.
If you do not have a picture of the specific property, you can upload pictures of the area by going to http://images.google.com/ and type the name of the area or the city. You will be given pictures of the area and then you can click on the picture and save it to your computer.
Adding Additional Pictures to the Auction Description
Adding pictures to your asset description is a free and easy way to increase the marketability of your auction. The EZLister enables you to add a main picture to your asset page, however, to include additional pictures, they must first be hosted (or stored) somewhere else on the Internet. Ask your Internet service provider if they offer any free web space. If not, there are many free picture hosting Web sites, such as:
* http://photobucket.com
* http://www.villagephotos.com
* http://www.imageshack.us/
* http://www.imagecave.com
Once your pictures are online and you have the URLs for them, click on the HTML tab and copy and paste the code (see below) into your asset description. Simply replace the text in blue with the address of your picture. If you'd like to center the picture, or align it to the left or right, simply click on the picture and click on the icon for align left, center, or align right.
Financial Terms
When you list an item on www.ebay.com or www.bid4assets.com then you must have a starting price. Make sure that you cover your costs with either the starting price or the reserve price. A reserve is a value that the buyer must reach before you are legally obligated to sell the property. ***You must cover yourself with one of these prices to make sure that you do not lose money on the transaction based upon what you paid for the property and based on the fair market value of the property.
Fees
Buyer’s Premium is ONLY for www.bid4assets.com, NOT http://ebay.com. A Buyer's Premium is a fee that is charged to the buyer to have the buyer cover your auction fees. It is a seller’s responsibility to add this fee to the winning bid amount and it is included in the total purchase price paid by the Buyer to the Seller. You should charge 10% of the final purchase price of the price to the client as “buyer’s premium or closing costs”.
A document preparation fee is the amount that you charge the individual for document preparation. You will prepare the deed by going to www.vuwriter.com (you must sign up for this free site) and clicking on forms on the left-hand side of the page. Then you will see abbreviations for every state in the United States. Pick one of those states and there are several documents for each state, including deeds. These deeds have been prepared by a title company and have everything that the different states require for a deed.
Payment Methods
You will need to fill in all required financial terms. On www.ebay.com you can use the merchant account called PayPal. Go to www.paypal.com and set up a Business/ Premier Account. This should be a free account, but it will allow you to take more than $500 per month. There will be instructions on how you can connect the PayPal Account with your checking account at your own bank. I recommend that you accept cashier’s checks, PayPal money, and credit cards through PayPal.
Disclaimers
There are certain disclaimers that you should include on each listing. The following are a couple examples that I have seen on the internet. Create something similar to include on your listing. These are not meant to be legal advice, and you should create a disclaimer that meets your needs.
Due Diligence: Before purchasing any property conduct your own Due Diligence. All properties are sold "as is, where is" and in the same physical condition as when we received them. All information on our properties comes from reliable sources such as Property Owner's Association (POA), county, state or other governmental agencies. Ask all questions before your purchase! All questions must be emailed or written. All correspondence is printed, logged and archived. Your bid is a legal agreement to purchase and indicates that you have completed all of the DUE DILIGENCE.
Payment: You are bidding on the FULL purchase price of this lot. This is Not a Down Payment Auction! This is not a tax sale or foreclosure. There are document preparation fees of $175.00 added to winning bid which covers deed preparation, recording fees, transfer taxes and notification to all relevant agencies. The time period for the deed transfer depends on the county, but we will do our best to have the deed delivered between 3-6 weeks after purchase. Payment must be made within 5 business days. Once payment is received and cleared by the bank, then a Quitclaim Deed will be issued and sent to the county to be recorded and then forwarded to you. We accept a cashier's checks, PayPal money, and credit cards through PayPal. There are no past fees or taxes for this Property. All fees and tax amounts are correct to the best of our knowledge. NOTE: If you have a feedback rating below 90% and/or less than 5, then payment must be received within 24 hours through PayPal. The overhead photographs ARE of the actual parcel, however the other photos are of the area and not the actual parcel for sale.
How to Sell on eBay
Follow these easy steps to sell on eBay.
Become an eBay seller.
1. Become a seller by providing a valid credit/debit card and bank account information. If you do not want to provide this information, become ID Verified.
Sign up to accept PayPal (optional).
If you want to use PayPal to accept buyers' credit card and electronic check payments online, we recommend signing up before you list your first item for sale. Register for PayPal.
2. Fill out the Sell Your Item form.
The Sell Your Item form is where you create your eBay listing. Here are some of the sections you will be asked to complete.
o Choose a selling format.
Are you selling through eBay's standard online auction format, setting a fixed price, using your own eBay Store, or listing an ad in the Real Estate category? More about selling formats.
o Select a category.
Explore eBay categories ahead of time to help you choose the most appropriate category for your item. Try searching for similar items and see what categories have been used.
o Write a title.
Be clear, complete, and descriptive. Your title should include words buyers would search for when looking for your item. View tips on titles.
o Select Item specifics.
This option is only available for certain categories. If you see it, fill in the details to help your item sell fast. More about item specifics.
o Write an item description.
Here's your chance to really describe and promote your item. Sometimes it is easier to write your description in a word authoring program first, and then cut and paste it into the item description area in the Sell Your Item Form. Be clear and complete. Be creative, telling the history of your item and why someone would want to buy it. Read how to write a good description.
o Add pictures.
Show off your item with pictures. You can use eBay Picture Services, which lets you add pictures straight from the selling form—and offers some attention-grabbing options. Or you can click Web Hosting to use your own hosting service.
o Choose pricing and listing duration.
How long do you want your listing to run? How many items are you selling? What will your starting price be? Would you like to use a reserve price or sell with Buy It Now? Answer these questions here.
o Provide item location.
Where is your item located? It’s a good idea to include the city and state where the item is located.
o Increase your item's visibility.
Explore the many listing upgrades that can help your item stand out from the other listings. Choose the options that are right for you.
o Enter payment and shipping information.
How will you accept payment from your buyer when your listing ends? eBay recommends offering PayPal--the fast, easy and secure way to accept credit card or checking account payment.
Where will you ship your item and who will pay for that cost? The more details you include on the Sell Your Item form, you will receive fewer questions from buyers and the end of your listing will be easier.
3. Review and submit your listing.
Now you'll see a preview of your listing and a summary of its details. Look this over carefully. If you're satisfied and finished, submit your listing.
Now your listing begins!
And when your listing ends...
4. Communicate with your buyer.
If you use eBay's Checkout service, when your buyer completes checkout, eBay will notify you by email. If you didn't specify shipping and payment details, the buyer can use checkout to request this information. You can also use checkout to send the buyer an invoice.
If you selected not to use checkout, you should contact the buyer directly using email or phone.
Important: You should contact the buyer directly if you have not heard from the buyer or the buyer has not completed Checkout within 3 days of your listing's end.
5. Receive payment.
If the buyer paid with PayPal, you will receive an email confirming payment. If you have not yet registered for the PayPal service, you will be prompted to register to accept the payment.
6. Ship the item to the buyer.
Pack it up well! Use bubble wrap or crumpled up newspaper to protect the item from damage during shipping. Make sure any parts of the item that are fragile are well padded and are located toward the center of the box if possible. You don't want damage from shipping to create problems for you and your buyer.
7. Leave the buyer feedback.
eBay's feedback system helps create a trustworthy community for everyone. Your feedback about your buyer is important information for other sellers.
Guidelines for Selling on Bid4Assets
Gather the information you will need before listing your asset, including:
* Description and specifications of asset(s).
* Due diligence information for bidders such as photographs, proof of ownership, appraisal, plat maps, maintenance records, financial statements, etc.
1 Select Sell an Asset
You must be registered to sell. You will be prompted to login or register after you click on Sell an Asset.
2 Select Start
Select the auction listing package that includes the products and services that best meet your needs.
3 Choose the option New Listing
if you are listing the asset for sale.
4 Choose a Channel
and assign your asset to the most appropriate category or sub-category available.
5 Enter Basic Asset Information
Title - To keep our Web site consistent and easy to follow for bidders we require the following standards and formats for auction titles:
* Sentence Case Please (No ALL CAPS)
* Real Estate: Location + Size + Description (Vienna, VA - 2 Acre Residential Lot)
* Personal Property: Quantity/Value + Description (1.5 CTW Diamond Ring)
* Financial Instruments: Face Value + Security + Performance + Description ($7 Million Secured Performing Promissory Note)
* Intangible Property: Sub-Category + Description (Domain Name: GeeWhiz.com)
Asset Description:
* HTML format – No Tags allowed
* HTML tables are restricted to 650 pixels wide
* Font size no greater than +2
* Images no greater than 320 Pixels (W) x 240 Pixels (H)
* (Hint: This recommended image size is for faster download time and enhanced user experience. Larger images require a much longer download time, making it convenient for users.)
* We recommend no more than (5) images to maintain manageable download time for users.
* All links within the asset description must open a separate browser window.
* We recommend that you include only pertinent information. Bidders may not read your description if it is too long.
* If only limited information is available, please state this clearly so that potential bidders are aware.
* Real Estate: Include APN Number/complete legal description (required), size of property, zoning, annual taxes/dues, utilities available, improvements, appraised value, telephone number for county (recommended), etc. For timeshares include the unit#, fixed/floating week and maintenance fees.
* Personal Property: Make, model, serial number, specifications, year/age/hours used, maintenance, size, cut, color, clarity, etc.
* Financial Instruments: Position of note, performance, origination amount and date, payments, balance of note, amortization schedule, etc.
* Intangible Property: Description of asset, registration date, etc.
6 Auction Requested Timeline
* Start Date: Monday - Friday during Bid4Assets' regular business hours (8am - 6pm ET)
* End Date: Tuesday - Friday during Bid4Assets' regular business hours (8am - 6pm ET)
* We do not recommend closing auctions on a Monday to ensure adequate time to respond to bidder questions from the weekend.
7 Select Financial Terms
* Bid4Assets recommends NO RESERVE auctions to encourage the most bidder participation.
8 Settlement Terms
* Choose the method(s) of payment you will accept.
* For Jewelry auctions, be sure to include your refund policy.
9 Listing Fees & Options
* Review the fees and promotional opportunities.
* Bid4Assets recommends selecting promotional opportunities to increase exposure of your auction.
10 Asset Listing Confirmation
* Review your listing.
* Agree to the Bid4Assets User Agreement and the auction listing guidelines.
* Click "Finish" (once you click "Finish" you will no longer be able to make any changes).
11 Congratulations
* Review listing by clicking on the link provided.
* Record Auction ID # for your records.
* Upload your due diligence materials using one of the following methods:
1. Include images and links to due diligence in your asset description using html:
o Example for image:
o All links must open in a separate browser window. Example for link:
link description to be hotlinked
2. Upload due diligence directly to the Bid4Assets Web site:
o Click on the link to edit your auction listing from the congratulations page, or go to sell and asset and select the option to edit your auction listing.
o Follow the directions to upload images (jpg or gif format) and documents (pdf format) for your auctions on hold.
3. Send due diligence to Bid4Assets (for Deluxe Listing Package only):
o Include your name, email address, asset title and auction id # with all communication.
o Email images or scanned documents to service@bid4assets.com with the auction id # in the subject line. We will post your photos/documents for you. Or,
o Fax hard copies of documents to (301)650-9194. Or,
o Mail photos/documents to Bid4Assets. Do not send originals.
Bid4Assets
Attn: Client Services
8757 Georgia Ave (Suite 1330)
Silver Spring, MD 20910
Important Quality Review:
Please allow 1-2 business days for quality assurance review and posting of due diligence once the information has been received (when applicable). For new sellers and for all assets valued over $1,000, we require a copy of your proof of ownership. This can be faxed to (301)650-9194. Your auction listing will remain in hold until we receive a copy of your proof of your ownership.
A dedicated Account Manager will contact you if more information is required and to get your approval of your auction listing before it goes live on the Web site.
Questions:
If you have questions, please contact Client Services at service@bid4assets.com or call us at 301-650-0003. Our business hours are Monday - Friday, 8am - 6pm Eastern Time.
Thank you for your business!
Disclaimer text: "The information contained herein is meant for educational purposes only. By presenting this information, Mentoring of America (MOA) and its employees do not render legal, accounting or other professional advice. It is your own personal responsibility to seek professional advice for any specific transaction or investment from those licensed to render such advice. If you require specific legal, tax or accounting advice, seek the advice of a qualified professional."
On www.bid4assets.com there is an option of selling called The Easy Listing Process which is quick, easy and only takes a couple of minutes! It is ideal for sellers who want to list an asset with a basic description, a thumbnail photo and settlement terms.
Technical Specs for EZ Lister
·Do not use a Mac. EZ Lister works best on a personal computer or laptop running windows.
·It is strongly recommended that you use a recent version of Internet Explorer
On www.ebay.com you will want to list an item as an auction rather than a real estate listing. This will take you to the area of the site where you can begin your ad.
Creating a Title for the Property Listing
This section allows you to provide all relevant information on your asset, as well as inspection details, settlement terms, and any additional terms of sale.
It is important to choose an informative yet concise title for your asset.
TITLE: "California Land: 0.36 Acres of Vacant Residential Land in Los Angeles, CA”
SUBTITLE: “16.84 Miles from the Ocean, near Burbank, CA”
Basic Property Description
Real Estate: Remember to include the following information:
* APN Number (Assessor’s Parcel Number)
* Complete legal description (required)
* Size of property
* Zoning
* Annual taxes/dues
* Utilities available
* Improvements
* Appraised value
* Some comparables in the area
* The telephone number or website for the county (recommended), etc. POA (Property Owner’s Association) or HOA (Home Owner’s Association) dues.
* Enter any additional settlement terms, such as: "Payment must be received within 5 days of the close of the auction."
Auction Requested Timeline
It would be good to let the auction run from Wednesday to Wednesday OR Thursday to Thursday. This gives the buyer adequate time to research the property if they find the property on the weekend. Seven days is a good timeline for vacant land. If the property has a home or building then you might want to double or triple the timeline. (2 to 3 weeks)
Bid4Assets may review each asset listing before making it publicly available. This normally takes 1-2 business days. If your auction is released prior to the start date, it will appear on the site in preview.
On www.ebay.com it will be up to you to edit the listing, and they will not be reviewed. It is a good to have somebody else such as a friend or your coach edit your site because they will catch the imperfections on the site.
I would recommend that you end the auction at 6:00 p.m. Pacific Time. This way you can give everybody in the United States a chance to bid on the property.
Pictures
I strongly recommend that you upload pictures (must be gif/jpeg) of your property if you have one available. If you can get some pictures of the property then you will sell the property for a higher amount. Pictures of the property help promote your item and make it more appealing to buyers.
If you do not have a picture of the specific property, you can upload pictures of the area by going to http://images.google.com/ and type the name of the area or the city. You will be given pictures of the area and then you can click on the picture and save it to your computer.
Adding Additional Pictures to the Auction Description
Adding pictures to your asset description is a free and easy way to increase the marketability of your auction. The EZLister enables you to add a main picture to your asset page, however, to include additional pictures, they must first be hosted (or stored) somewhere else on the Internet. Ask your Internet service provider if they offer any free web space. If not, there are many free picture hosting Web sites, such as:
* http://photobucket.com
* http://www.villagephotos.com
* http://www.imageshack.us/
* http://www.imagecave.com
Once your pictures are online and you have the URLs for them, click on the HTML tab and copy and paste the code (see below) into your asset description. Simply replace the text in blue with the address of your picture. If you'd like to center the picture, or align it to the left or right, simply click on the picture and click on the icon for align left, center, or align right.
Financial Terms
When you list an item on www.ebay.com or www.bid4assets.com then you must have a starting price. Make sure that you cover your costs with either the starting price or the reserve price. A reserve is a value that the buyer must reach before you are legally obligated to sell the property. ***You must cover yourself with one of these prices to make sure that you do not lose money on the transaction based upon what you paid for the property and based on the fair market value of the property.
Fees
Buyer’s Premium is ONLY for www.bid4assets.com, NOT http://ebay.com. A Buyer's Premium is a fee that is charged to the buyer to have the buyer cover your auction fees. It is a seller’s responsibility to add this fee to the winning bid amount and it is included in the total purchase price paid by the Buyer to the Seller. You should charge 10% of the final purchase price of the price to the client as “buyer’s premium or closing costs”.
A document preparation fee is the amount that you charge the individual for document preparation. You will prepare the deed by going to www.vuwriter.com (you must sign up for this free site) and clicking on forms on the left-hand side of the page. Then you will see abbreviations for every state in the United States. Pick one of those states and there are several documents for each state, including deeds. These deeds have been prepared by a title company and have everything that the different states require for a deed.
Payment Methods
You will need to fill in all required financial terms. On www.ebay.com you can use the merchant account called PayPal. Go to www.paypal.com and set up a Business/ Premier Account. This should be a free account, but it will allow you to take more than $500 per month. There will be instructions on how you can connect the PayPal Account with your checking account at your own bank. I recommend that you accept cashier’s checks, PayPal money, and credit cards through PayPal.
Disclaimers
There are certain disclaimers that you should include on each listing. The following are a couple examples that I have seen on the internet. Create something similar to include on your listing. These are not meant to be legal advice, and you should create a disclaimer that meets your needs.
Due Diligence: Before purchasing any property conduct your own Due Diligence. All properties are sold "as is, where is" and in the same physical condition as when we received them. All information on our properties comes from reliable sources such as Property Owner's Association (POA), county, state or other governmental agencies. Ask all questions before your purchase! All questions must be emailed or written. All correspondence is printed, logged and archived. Your bid is a legal agreement to purchase and indicates that you have completed all of the DUE DILIGENCE.
Payment: You are bidding on the FULL purchase price of this lot. This is Not a Down Payment Auction! This is not a tax sale or foreclosure. There are document preparation fees of $175.00 added to winning bid which covers deed preparation, recording fees, transfer taxes and notification to all relevant agencies. The time period for the deed transfer depends on the county, but we will do our best to have the deed delivered between 3-6 weeks after purchase. Payment must be made within 5 business days. Once payment is received and cleared by the bank, then a Quitclaim Deed will be issued and sent to the county to be recorded and then forwarded to you. We accept a cashier's checks, PayPal money, and credit cards through PayPal. There are no past fees or taxes for this Property. All fees and tax amounts are correct to the best of our knowledge. NOTE: If you have a feedback rating below 90% and/or less than 5, then payment must be received within 24 hours through PayPal. The overhead photographs ARE of the actual parcel, however the other photos are of the area and not the actual parcel for sale.
How to Sell on eBay
Follow these easy steps to sell on eBay.
Become an eBay seller.
1. Become a seller by providing a valid credit/debit card and bank account information. If you do not want to provide this information, become ID Verified.
Sign up to accept PayPal (optional).
If you want to use PayPal to accept buyers' credit card and electronic check payments online, we recommend signing up before you list your first item for sale. Register for PayPal.
2. Fill out the Sell Your Item form.
The Sell Your Item form is where you create your eBay listing. Here are some of the sections you will be asked to complete.
o Choose a selling format.
Are you selling through eBay's standard online auction format, setting a fixed price, using your own eBay Store, or listing an ad in the Real Estate category? More about selling formats.
o Select a category.
Explore eBay categories ahead of time to help you choose the most appropriate category for your item. Try searching for similar items and see what categories have been used.
o Write a title.
Be clear, complete, and descriptive. Your title should include words buyers would search for when looking for your item. View tips on titles.
o Select Item specifics.
This option is only available for certain categories. If you see it, fill in the details to help your item sell fast. More about item specifics.
o Write an item description.
Here's your chance to really describe and promote your item. Sometimes it is easier to write your description in a word authoring program first, and then cut and paste it into the item description area in the Sell Your Item Form. Be clear and complete. Be creative, telling the history of your item and why someone would want to buy it. Read how to write a good description.
o Add pictures.
Show off your item with pictures. You can use eBay Picture Services, which lets you add pictures straight from the selling form—and offers some attention-grabbing options. Or you can click Web Hosting to use your own hosting service.
o Choose pricing and listing duration.
How long do you want your listing to run? How many items are you selling? What will your starting price be? Would you like to use a reserve price or sell with Buy It Now? Answer these questions here.
o Provide item location.
Where is your item located? It’s a good idea to include the city and state where the item is located.
o Increase your item's visibility.
Explore the many listing upgrades that can help your item stand out from the other listings. Choose the options that are right for you.
o Enter payment and shipping information.
How will you accept payment from your buyer when your listing ends? eBay recommends offering PayPal--the fast, easy and secure way to accept credit card or checking account payment.
Where will you ship your item and who will pay for that cost? The more details you include on the Sell Your Item form, you will receive fewer questions from buyers and the end of your listing will be easier.
3. Review and submit your listing.
Now you'll see a preview of your listing and a summary of its details. Look this over carefully. If you're satisfied and finished, submit your listing.
Now your listing begins!
And when your listing ends...
4. Communicate with your buyer.
If you use eBay's Checkout service, when your buyer completes checkout, eBay will notify you by email. If you didn't specify shipping and payment details, the buyer can use checkout to request this information. You can also use checkout to send the buyer an invoice.
If you selected not to use checkout, you should contact the buyer directly using email or phone.
Important: You should contact the buyer directly if you have not heard from the buyer or the buyer has not completed Checkout within 3 days of your listing's end.
5. Receive payment.
If the buyer paid with PayPal, you will receive an email confirming payment. If you have not yet registered for the PayPal service, you will be prompted to register to accept the payment.
6. Ship the item to the buyer.
Pack it up well! Use bubble wrap or crumpled up newspaper to protect the item from damage during shipping. Make sure any parts of the item that are fragile are well padded and are located toward the center of the box if possible. You don't want damage from shipping to create problems for you and your buyer.
7. Leave the buyer feedback.
eBay's feedback system helps create a trustworthy community for everyone. Your feedback about your buyer is important information for other sellers.
Guidelines for Selling on Bid4Assets
Gather the information you will need before listing your asset, including:
* Description and specifications of asset(s).
* Due diligence information for bidders such as photographs, proof of ownership, appraisal, plat maps, maintenance records, financial statements, etc.
1 Select Sell an Asset
You must be registered to sell. You will be prompted to login or register after you click on Sell an Asset.
2 Select Start
Select the auction listing package that includes the products and services that best meet your needs.
3 Choose the option New Listing
if you are listing the asset for sale.
4 Choose a Channel
and assign your asset to the most appropriate category or sub-category available.
5 Enter Basic Asset Information
Title - To keep our Web site consistent and easy to follow for bidders we require the following standards and formats for auction titles:
* Sentence Case Please (No ALL CAPS)
* Real Estate: Location + Size + Description (Vienna, VA - 2 Acre Residential Lot)
* Personal Property: Quantity/Value + Description (1.5 CTW Diamond Ring)
* Financial Instruments: Face Value + Security + Performance + Description ($7 Million Secured Performing Promissory Note)
* Intangible Property: Sub-Category + Description (Domain Name: GeeWhiz.com)
Asset Description:
* HTML format – No Tags allowed
* HTML tables are restricted to 650 pixels wide
* Font size no greater than +2
* Images no greater than 320 Pixels (W) x 240 Pixels (H)
* (Hint: This recommended image size is for faster download time and enhanced user experience. Larger images require a much longer download time, making it convenient for users.)
* We recommend no more than (5) images to maintain manageable download time for users.
* All links within the asset description must open a separate browser window.
* We recommend that you include only pertinent information. Bidders may not read your description if it is too long.
* If only limited information is available, please state this clearly so that potential bidders are aware.
* Real Estate: Include APN Number/complete legal description (required), size of property, zoning, annual taxes/dues, utilities available, improvements, appraised value, telephone number for county (recommended), etc. For timeshares include the unit#, fixed/floating week and maintenance fees.
* Personal Property: Make, model, serial number, specifications, year/age/hours used, maintenance, size, cut, color, clarity, etc.
* Financial Instruments: Position of note, performance, origination amount and date, payments, balance of note, amortization schedule, etc.
* Intangible Property: Description of asset, registration date, etc.
6 Auction Requested Timeline
* Start Date: Monday - Friday during Bid4Assets' regular business hours (8am - 6pm ET)
* End Date: Tuesday - Friday during Bid4Assets' regular business hours (8am - 6pm ET)
* We do not recommend closing auctions on a Monday to ensure adequate time to respond to bidder questions from the weekend.
7 Select Financial Terms
* Bid4Assets recommends NO RESERVE auctions to encourage the most bidder participation.
8 Settlement Terms
* Choose the method(s) of payment you will accept.
* For Jewelry auctions, be sure to include your refund policy.
9 Listing Fees & Options
* Review the fees and promotional opportunities.
* Bid4Assets recommends selecting promotional opportunities to increase exposure of your auction.
10 Asset Listing Confirmation
* Review your listing.
* Agree to the Bid4Assets User Agreement and the auction listing guidelines.
* Click "Finish" (once you click "Finish" you will no longer be able to make any changes).
11 Congratulations
* Review listing by clicking on the link provided.
* Record Auction ID # for your records.
* Upload your due diligence materials using one of the following methods:
1. Include images and links to due diligence in your asset description using html:
o Example for image:
o All links must open in a separate browser window. Example for link:
link description to be hotlinked
2. Upload due diligence directly to the Bid4Assets Web site:
o Click on the link to edit your auction listing from the congratulations page, or go to sell and asset and select the option to edit your auction listing.
o Follow the directions to upload images (jpg or gif format) and documents (pdf format) for your auctions on hold.
3. Send due diligence to Bid4Assets (for Deluxe Listing Package only):
o Include your name, email address, asset title and auction id # with all communication.
o Email images or scanned documents to service@bid4assets.com with the auction id # in the subject line. We will post your photos/documents for you. Or,
o Fax hard copies of documents to (301)650-9194. Or,
o Mail photos/documents to Bid4Assets. Do not send originals.
Bid4Assets
Attn: Client Services
8757 Georgia Ave (Suite 1330)
Silver Spring, MD 20910
Important Quality Review:
Please allow 1-2 business days for quality assurance review and posting of due diligence once the information has been received (when applicable). For new sellers and for all assets valued over $1,000, we require a copy of your proof of ownership. This can be faxed to (301)650-9194. Your auction listing will remain in hold until we receive a copy of your proof of your ownership.
A dedicated Account Manager will contact you if more information is required and to get your approval of your auction listing before it goes live on the Web site.
Questions:
If you have questions, please contact Client Services at service@bid4assets.com or call us at 301-650-0003. Our business hours are Monday - Friday, 8am - 6pm Eastern Time.
Thank you for your business!
Disclaimer text: "The information contained herein is meant for educational purposes only. By presenting this information, Mentoring of America (MOA) and its employees do not render legal, accounting or other professional advice. It is your own personal responsibility to seek professional advice for any specific transaction or investment from those licensed to render such advice. If you require specific legal, tax or accounting advice, seek the advice of a qualified professional."
Researching
Most county tax sale lists can be rather extensive. At times they include in excess of a thousand properties! Screening through a large list should NOT be a bad experience. The purpose of this step is to find properties that could be researched further to see if the property may be profitable.
Once you have acquired a list, it is important to screen through the list according to the aspects of the property that fit your criteria. The following topics are suggestions of what to use to screen a list.
1. Price – Look at the minimum bid column and if the property is within your price range, set it aside or mark it some how.
2. Location – If you are familiar with the location and its area, identify which properties are in good areas. If you are not familiar with the area then move on to the next topic.
3. Assessor’s Office
4. Zoning Department
5. Recorder’s Office
Contact County Offices
After a list is acquired and properties have been selected to be researched further, the next step is to contact the County Assessor to find out more information about each specific property. The purpose of this step is to find out some detailed information about the property and its location if possible.
The County Assessor generally is the one that determines the value of each property in which the county will base their taxes off of. In order to determine an accurate assessed value, the county must know some of the basic information about the property. The County Assessor should be able to provide the information on a property. After all they do determine the assessed value.
• Call the County Assessor’s Office and ask the following.
1. How the assessed value determined?
2. What is the address of the property? (Street address, legal description, or APN #, Assessor’s Parcel #)
• How can you find a parcel map? (GIS)
3. Lot Size? (Acreage or Square Footage)
4. Dimensions of the property?
5. Is there a building or any improvements on the property?
• Do the improvements still exist?
• Is the building vacant?
• Age of the building?
• Square footage of building?
• How many bedrooms and bathrooms in the home?
• Call the Zoning/ Planning Department and for the following.
1. What is the property zoned? (Residential, Commercial, Agricultural, Rural, Industrial, Estate, and Forestry)
a. What does that mean? or…What can you do with the property?
2. What would it take to re-zone the property? (e.g. From Agricultural to Residential)
3. Is the property buildable? →
a. What are the setbacks? (Distance from the curb to where you can build)
i. Frontage/ Side-yards (distance)/ Back-yard (distance)
b. Are there any easements?
i. Utilities easements: Power lines, water lines, & Gas lines
ii. Easements by Necessity: Point of access to a land-locked parcel
c. Are there any Utilities on the property? [Gas, Power, Water, Sewer, Septic]
d. Is the property in a flood zone? (You may not be able to purchase flood insurance)
4. Are there homes on either side of the property? (If they have utilities then it’s easier)
5. Ask them if there are any projects in the county or the city such as shopping centers, grocery stores, malls, or anything else that would raise the price of the property?
• Recorder’s Office (Or wherever the deed is recorded in the county)
a. Once you have done all of your due diligence on a property including researching the county’s own website, you can call the Recorder’s office to find out the following information:
a. What is the current owner’s name and contact information?
i. Are there any back liens or encumbrances?
b. Is there anything else that they can help you with?
Once you have acquired a list, it is important to screen through the list according to the aspects of the property that fit your criteria. The following topics are suggestions of what to use to screen a list.
1. Price – Look at the minimum bid column and if the property is within your price range, set it aside or mark it some how.
2. Location – If you are familiar with the location and its area, identify which properties are in good areas. If you are not familiar with the area then move on to the next topic.
3. Assessor’s Office
4. Zoning Department
5. Recorder’s Office
Contact County Offices
After a list is acquired and properties have been selected to be researched further, the next step is to contact the County Assessor to find out more information about each specific property. The purpose of this step is to find out some detailed information about the property and its location if possible.
The County Assessor generally is the one that determines the value of each property in which the county will base their taxes off of. In order to determine an accurate assessed value, the county must know some of the basic information about the property. The County Assessor should be able to provide the information on a property. After all they do determine the assessed value.
• Call the County Assessor’s Office and ask the following.
1. How the assessed value determined?
2. What is the address of the property? (Street address, legal description, or APN #, Assessor’s Parcel #)
• How can you find a parcel map? (GIS)
3. Lot Size? (Acreage or Square Footage)
4. Dimensions of the property?
5. Is there a building or any improvements on the property?
• Do the improvements still exist?
• Is the building vacant?
• Age of the building?
• Square footage of building?
• How many bedrooms and bathrooms in the home?
• Call the Zoning/ Planning Department and for the following.
1. What is the property zoned? (Residential, Commercial, Agricultural, Rural, Industrial, Estate, and Forestry)
a. What does that mean? or…What can you do with the property?
2. What would it take to re-zone the property? (e.g. From Agricultural to Residential)
3. Is the property buildable? →
a. What are the setbacks? (Distance from the curb to where you can build)
i. Frontage/ Side-yards (distance)/ Back-yard (distance)
b. Are there any easements?
i. Utilities easements: Power lines, water lines, & Gas lines
ii. Easements by Necessity: Point of access to a land-locked parcel
c. Are there any Utilities on the property? [Gas, Power, Water, Sewer, Septic]
d. Is the property in a flood zone? (You may not be able to purchase flood insurance)
4. Are there homes on either side of the property? (If they have utilities then it’s easier)
5. Ask them if there are any projects in the county or the city such as shopping centers, grocery stores, malls, or anything else that would raise the price of the property?
• Recorder’s Office (Or wherever the deed is recorded in the county)
a. Once you have done all of your due diligence on a property including researching the county’s own website, you can call the Recorder’s office to find out the following information:
a. What is the current owner’s name and contact information?
i. Are there any back liens or encumbrances?
b. Is there anything else that they can help you with?
Introduction
Welcome!
Congratulations on making the decision to change your life through real estate. My name is Ben Gunn, and I am a tax sale, real estate consultant. If you have purchased the John Beck program, I have been selected to be your mentor for all of the sessions that you have purchased with our company. I will do everything in my power to help you make money as soon as possible, but keep in mind that this is a business and success depends on your determination. I am excited to be able to work with you, and below is my contact information so that you can reach me if you need to do so.
Ben Gunn
Real Estate Consultant
Mentoring of America
taxsalesonline@gmail.com
John Beck’s Coaching Hot-line 1-888-733-7615
Customer Service 1-800-266-5664
Customer Service will be able to help you with account issues such as logging in to your Property Vault account. The Coaching Hot-line is a valuable resource, available to you throughout your investing career. Specialists in our office will help you one on one and can answer most of the questions you will have. The Hot-line is free!
1st Week’s Assignments:
1) Foundation
a) Begin reading John Beck's Amazing Profits (green CD). Watch the Quick Start video/ DVD that came in the initial infomercial package
Answer the following questions while watching the DVD:
i) What is a tax lien certificate and how is it different from a redeemable deed?
ii) What is a tax deed?
iii) What states would I like to work in?
iv) What are some of the different ways I can buy properties from a county?
b) Register as a buyer and a seller on http://www.ebay.com/
c) Register on http://www.bid4assets.com/
d) Buy Profit by Investing in Real Estate Tax Liens, by Larry B. Loftis, Esq. (Optional, but very helpful!)
e) Go to http://johnbecksamazingprofits.com/ and become familiar with the site
f) Visit http://www.johnbeckspropertyvault.com/ and log in using your customer ID and the word "PASSWORD" in capital letters for your password.
g) Contact your county about their tax sale process. Find out when the next auction will be and if you will be able to bid online or through the mail. Ask about leftover properties.
Congratulations on making the decision to change your life through real estate. My name is Ben Gunn, and I am a tax sale, real estate consultant. If you have purchased the John Beck program, I have been selected to be your mentor for all of the sessions that you have purchased with our company. I will do everything in my power to help you make money as soon as possible, but keep in mind that this is a business and success depends on your determination. I am excited to be able to work with you, and below is my contact information so that you can reach me if you need to do so.
Ben Gunn
Real Estate Consultant
Mentoring of America
taxsalesonline@gmail.com
John Beck’s Coaching Hot-line 1-888-733-7615
Customer Service 1-800-266-5664
Customer Service will be able to help you with account issues such as logging in to your Property Vault account. The Coaching Hot-line is a valuable resource, available to you throughout your investing career. Specialists in our office will help you one on one and can answer most of the questions you will have. The Hot-line is free!
1st Week’s Assignments:
1) Foundation
a) Begin reading John Beck's Amazing Profits (green CD). Watch the Quick Start video/ DVD that came in the initial infomercial package
Answer the following questions while watching the DVD:
i) What is a tax lien certificate and how is it different from a redeemable deed?
ii) What is a tax deed?
iii) What states would I like to work in?
iv) What are some of the different ways I can buy properties from a county?
b) Register as a buyer and a seller on http://www.ebay.com/
c) Register on http://www.bid4assets.com/
d) Buy Profit by Investing in Real Estate Tax Liens, by Larry B. Loftis, Esq. (Optional, but very helpful!)
e) Go to http://johnbecksamazingprofits.com/ and become familiar with the site
f) Visit http://www.johnbeckspropertyvault.com/ and log in using your customer ID and the word "PASSWORD" in capital letters for your password.
g) Contact your county about their tax sale process. Find out when the next auction will be and if you will be able to bid online or through the mail. Ask about leftover properties.
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