The beauty of a luxury real estate auction is that the property sells in sixty days — start to finish. In that time, we identify a pool of potential buyers, find a fair, market-driven price on auction day, and head smoothly towards a non-contingent closing. As a buyer, you can rest assured knowing you will not overpay for a luxury property at auction. Rather, bid with confidence knowing that if you are the winning buyer you will only pay one bid above the next highest bidder.
One question that often comes up among potential buyers at our luxury real estate auctions is ‘Can I finance the purchase?’ The short answer is: Yes. Even though a majority of our sales are cash transactions, financing is acceptable.
However, keep these points in mind:
With a luxury property auction, there is no financing contingency in the purchase and sale agreement. You risk losing your deposit and will be subject to other penalties if you fail to close on time.
If you choose to finance, you will want to be pre-qualified by your lender and to begin the loan process ahead-of-time, as you will typically have 30 days or less to close after the auction.
All sales are “as-is, where-is.” Conduct your due diligence before the auction because the property will transfer in its current condition, with no inspection period after the sale.
At Concierge, we love all cash transactions. Who doesn’t? But financing is great too. We would be pleased to refer you to one of our preferred providers if you are interested in building a new financing relationship.
What has been your experience with financing a luxury real estate purchase?
