possible, paying off the loan, and pocketing their profits.
Delayed Financing In a delayed financing loan, you pay for your home upfront, as in the case of an auction purchase, and then immediately refinance the home to take the equity back out, presumably to buy more houses. It could also work if you borrowed money from friends or family to make the initial purchase of an auction property and need to repay those loans. Essentially, you will have to meet the appraisal and home inspection requirements, so a lot will depend on the condition of that home. It might be impossible to get that financing if the home turns out to be in worse shape than you imagined. Tips And Tricks Here is some advice that can help you navigate the auction process. Know Your Limit If you have figured out what you must pay for an auction property to make it worth your while, either as a homeowner or an investor, write that amount down somewhere and take a solemn vow not to exceed that price. It can be difficult to stick to, especially in the case of a bidding war, when emotions run high. But if you know exactly when to walk away, you will avoid overpaying for an auction property. Do Your Research Make sure you understand the market where you are bidding. Especially if you are moving from a high-cost real estate market to a lower-cost area, you might not understand the market or know what kinds of damage are unique to your new home. All risks are on the buyer in the auction situation, so there is no one to look to for financial assistance should the problems in a
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