Frequently Asked Questions
Must I register to bid?
You MUST register on auction day and receive a Bidder Card in order to bid. At registration you must present to Key a cashier’s check, made payable to yourself, in the amount listed in the Auction Catalog, and sign the Acknowledgement of Terms. If you are not the successful bidder, your cashier’s check will be returned immediately after the bidding closes.
Can I buy more than one property?
Yes. You just need to bring and present a cashier’s check for each property you intend to purchase.
What does “Absolute Auction” mean?
Real estate being sold “Absolute” means the property will be sold to the highest bidder, regardless of the amount of the high bid.
What does “Reserve” and “Seller Confirmation” mean?
In a reserve auction, the seller is not obligated to accept the high bid unless a certain minimum price is reached. In a seller confirmation auction, the seller is required to accept or reject the high bid within a specified time after the auction, usually 1-3 days. If the seller rejects the bid, the high bidder’s deposit will be immediately returned. If the seller accepts (“confirms”) the bid, the high bidder has a specified time to close (usually 30 days).
Do I have to make any more deposits other than my initial deposit before closing?
Usually you must increase your initial deposit to a total of 10% of the purchase price within three days of the auction. Check the auction’s Terms of Sale to determine what deposits will be required.
What happens once I have become the successful high bidder?
A Key Auctioneers representative will meet with you to get your endorsement on the check, the Sale Contract completed, and closing details worked out. Typically our terms allow 30 days to close.
What is a Buyer's Premium?
A Buyer’s Premium is a percentage amount paid by the buyer and added to the highest successful bid to determine the final contract price. For example, if the Buyer’s Premium is 10% and the Buyer bids $100, the Buyer will pay $100 for the item plus a $10 Buyer’s Premium for a total of $110.
Is my deposit refundable if I change my mind after the sale and decide not to buy the property?
No. If a buyer does not close for any reason on or before the closing date, the initial deposit/earnest money will be forfeited.
When and where are closings held?
Our terms typically require closing within 30 days after the auction. We will order order title insurance on behalf of the Seller, and work with the buyer to schedule the closing at a mutually acceptable time and place, typically at our offices or a title company’s offices.