Before the Auction
Is the auction price the same as the listing price?
Not always. Some auctions publish a starting bid, while others display a suggested opening bid or an advertised price. None of these represent the actual sales price. The property will sell to the highest bidder subject to the auction terms and any reserve.
What is a reserve price?
A reserve price is the minimum amount the seller is willing to accept. If the bidding does not reach the reserve, the seller may choose not to sell. Some auctions are absolute, meaning the property sells to the highest bidder no matter what.
How do I know if the auction is absolute or reserve?
It will be clearly stated in the auction’s terms and marketing materials. If not, ask before bidding.
Are surveys or property boundaries guaranteed?
No. Unless provided in the auction documents, boundaries and acreage are not guaranteed and should be verified independently.
Can I review title work before bidding?
Yes. A preliminary title commitment is typically available before auction day. Buyers are strongly encouraged to review it to understand easements, covenants, encumbrances, or title exceptions.
Can I have inspections done?
In certain situations, this is allowed if clearly posted on auction website or this site. All due diligence must occur prior to the auction. Buyers may have the opportunity to hire inspectors, contractors, or other professionals during the preview period.
Registration & Bidding
Do I need to pay a deposit to bid?
Some auctions require a refundable bid deposit or credit card authorization to verify real bidders. This will be disclosed in the auction terms.
What if I am out of state or overseas—can I bid?
Yes. Online bidding allows participation from anywhere. However, you are still bound by the contract, timelines, and required deposits.
What happens if the website crashes or my internet goes out?
You are responsible for your bidding connection. We recommend placing a maximum bid if you have unstable internet. Kenton Patrick Realty & Auction is not liable for bidder connectivity issues.
Auction Day
Can I talk to someone during the auction if I have questions?
Yes. Our auction team is available by phone or chat to assist with procedural questions, though we cannot offer advice on how much to bid.
How quickly does the auction end?
Each auction has a scheduled closing time, but soft-close extensions may continue the bidding until no new bids are placed.
After Winning
When is the earnest money due?
Immediately upon winning. The specific earnest amount of money and delivery instructions are outlined in the terms.
Is the earnest money refundable?
NO, unless the seller fails to perform. Auction contracts rarely include contingencies, so earnest money becomes non-refundable once posted. In the event that an auction requires a deposit to bid and the buyer fails to win the auction, these bidding deposit monies will be refunded to non-winners of bidding within 72 hours of the close of the auction.
Are there contingencies allowed in auction contracts?
Nearly all auctions are non-contingent sales. This means:
No inspection contingencies
No appraisal contingencies
No financing contingencies
Buyers must be ready to close regardless of lender issues.
Who selects the title company?
The seller or auction company usually selects the title provider. This will be stated in the auction terms and a copy of the title commitment will be provided to buyers. The buyer typically pays for the title insurance and title fees so the cost of title insurance can vary as the price of the final sales price is determined in the auction.
What if the property is occupied?
Some auction properties may be tenant-occupied or owner-occupied. It is the buyer’s responsibility to verify occupancy and understand post-closing possession terms.
Property Conditions & Legal Terms
What does “subject to seller confirmation” mean?
It means the seller must approve the winning bid before the sale is final. This usually happens shortly after the auction ends.
Are auction properties guaranteed to close?
Only after the seller confirms the high bid (if applicable) and both parties sign the purchase agreement. Auctions are designed for predictable closings, but clear title must still be delivered.
Will the seller make repairs or offer concessions?
No. Auction sales are “as-is,” and sellers do not provide repairs, credits, or concessions.
Do properties come with disclosures?
Sometimes, but not always. Estates, banks, and trustees may not be required to complete disclosures. All information available will be provided before the auction.
What if the property is part of an estate or court-ordered sale?
These sales often have stricter terms and no ability for negotiation. Buyers should review all documents carefully.
Buyer Representation
Does bringing a buyer’s agent cost me anything?
No additional cost to you. Some auctions offer compensation to licensed brokers representing buyers. Check each auction’s specific terms.
Who writes the contract?
A standardized auction purchase agreement is pre-written and made available for review. Buyers cannot modify contract terms. Upon winning, you will sign that agreement.
Miscellaneous
Are auction prices lower than traditional market sales?
Not always. Auctions often attract competitive bidding that yields market-value or above-market results. The advantage for buyers is transparency and speed, not guaranteed discounts.
What if I want to place a bid but I’m unsure of value?
You should complete your due diligence and, if needed, consult an agent or appraiser. Neither the auction company nor seller can advise you on pricing.
Can I flip or assign the winning bid?
NO. If you are a wholesaler or intend to “flip” the contract, DO NOT BID.
Do I need an LLC or entity in place before bidding?
If you want title vested in an entity, you should create it before the auction. Changes after signing may not be allowed.