The rising cost of homeownership makes finding affordable options challenging. One way to save money is by purchasing a home at auction in PA. However, it’s essential to understand the process, expenses, and risks involved before diving in. New buyers should seek advice from a seasoned investor, family member, or friend with auction experience to navigate the complexities successfully.
Here are five important things you should know about buying a home at auction in PA, and why choosing iBuyLehigh may be a better alternative.
No Inspection
One major factor to consider is that most auctioned properties are sold as-is, meaning you won’t be allowed to inspect the property before bidding. While the price may seem like a deal, unseen issues often lead to costly repairs that can turn your investment into a financial burden. With iBuyLehigh, you can avoid this uncertainty and feel confident that you’re making a solid investment.
No Title Guarantee
One significant risk when buying a home at auction is the uncertainty surrounding the property’s title. In many cases, there’s no guarantee that the title is free and clear, meaning you could end up inheriting any unpaid liens, back taxes, or other legal claims attached to the property. This can lead to unexpected financial burdens and legal complications that could take time and money to resolve. However, when you choose to buy directly from iBuyLehigh, you eliminate these risks entirely. We ensure that the title is fully cleared of any outstanding issues, giving you complete peace of mind and confidence that there will be no hidden surprises or complications down the road.
Bring Cash
When participating in an auction, it’s essential to be prepared with the necessary finances. Typically, you are required to pay an earnest money deposit ranging from 5-15% of the final sale price within 24 hours of winning the bid, and this must be done using a cashier’s check. While certain auctions may provide a grace period to secure a mortgage, it’s still critical to have your financing arrangements in place well in advance to avoid any last-minute complications. This ensures you can meet the financial requirements immediately after the auction. In contrast, buying directly from iBuyLehigh provides much greater flexibility. Not only do we offer homes in a broad price range to suit different budgets, but we also help simplify the buying process. With iBuyLehigh, you can explore a variety of financing options and move forward with confidence, knowing that your financial needs will be met with ease.
Emotional Bidding
Auction environments can lead to emotionally driven bids that push prices higher than expected. To avoid overspending, set a maximum bid limit and stick to it. When you buy from iBuyLehigh, you eliminate the emotional escalation and are assured of paying a fair price for your new home.
Proof of Funds
After winning at auction, you must provide proof of funds or financing documentation, a vital step in the process. By choosing iBuyLehigh, you gain access to professional investors who can help you explore financing options tailored to your needs.
Want to learn more about buying a home at auction in PA, and why purchasing from iBuyLehigh is a smarter option? Reach out for a no-obligation consultation today. Also, ask about our current inventory of top properties in PA. If you don’t see your dream home on our list, let iBuyLehigh help you find the perfect home, negotiate a great price, and save you time and money.
At iBuyLehigh, our mission is to help our community achieve homeownership. We’re proud of our team’s work, redeveloping neighborhoods one home at a time. With iBuyLehigh, we aim to ensure you feel great about your purchase long after closing. Call iBuyLehigh at (484) 549-0019.