Many more foreclosure auctions to come
Auction.com held more than 600 auctions of foreclosed properties last year. "It's truly what we call the perfect storm of opportunity," said Trent Ferris, the company's vice president of auctions.
"At this particular point in time, nothing good comes from the empty house that's sitting there," Ferris said. "So by giving people the opportunity to buy at auction price to turn that empty house back into a home is absolutely phenomenal."
Foreclosed properties won at auction often sell for between 50% and 75% of their fair market value. Banks choose the auction block because homes sell that day. They avoid having properties sit on the open market for months and potentially years before a suitable buyer is found.
"At this particular point in time, nothing good comes from the empty house that's sitting there," Ferris said. "So by giving people the opportunity to buy at auction price to turn that empty house back into a home is absolutely phenomenal."
Foreclosed properties won at auction often sell for between 50% and 75% of their fair market value. Banks choose the auction block because homes sell that day. They avoid having properties sit on the open market for months and potentially years before a suitable buyer is found.
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Last updated February 09 2011: 9:51 AM ET
