Bait and Switch Lawsuit file to the big Home Auction Company - REDC
Wow - do you know those bid full page ads you see of this major real estate auction with teasers of seeing $400,000 homes with a ’starting bid’ of only $120,000. That is a juicy deal so yes, crowds come rushing into the ‘event’ of the full day real estate auction being held in your area.
Well, guess one couple didn’t like the end-result of the deal they thought they won at auction…you can read the entire article about the filed lawsuit in the O.C. Register by clicking here. Below is an excerpt:
At an auction in Pomona in March, Juan and Laura Torres made the highest bid — $146,000 — for a Corona property, according to the suit. Ms. Torres believed she had opened escrow on the property after signing paperwork at the auction and agreed to pay a 5 percent “buyers premium,” bringing the total price to $153,300. However, 30 days later, she was told that “she would not be able to purchase the property unless she came up with $50,000 more money,” the suit says.
2 Comments, Comment or Ping
RE Investor
Read the story closely the buyers didn’t even buy from REDC they bought from another auction firm and now are using a broad brush to file this suit. Peaple are getting great deals at these auctions …you can bitch and moan but I’ve seen it !
Jun 27th, 2008
admin
Hey there, thanks for the comment and you are absolutely right - that is why a few days ago I blogged about the ‘tide is turning’ after listening to Bruce Norris and how his team is finally getting good deals at the auctions like REDC. That post is at http://www.maria-gudelis.com/maria-gudelis-real-estate-guide/news-on-california-real-estate-and-real-estate-auctions-113.html
Jun 27th, 2008
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