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.