Most auction purchases are at the bottom of retail. The best auctions are the ones held on the courthouse steps. However, they are more difficult than the rest. You will need to know the true values of the properties, the position of the seller and if any property taxes are due. Even at these auctions, many people will pay retail, so you need to decide ahead of time where to stop. Often, you will not know the opening bid until the last hour, so you will function better with a support team. There is a daily turnover of new faces because people think it's easy but after a day or a week or two with no results, they leave. Look into short sales too because the seller has no motivation to make a profit and the property will be in better condition.
Feb 22, 2010