One project is using the auction method. Seventeen07 condos is holding an auction on Oct 19 at 2.00pm at Hotel Monaco in downtown Seattle. Instead of dragging out on the sales on the remaining units, they are hoping to have quick sales for all the remaining 17 homes.
Seventeen07 is a recent conversion on Capitol Hill which started their sales back in the spring this year. The building comprises of 36 homes which include studios (395-397 sq.ft.), one bedrooms (471-665 sq.ft) and two bedrooms (817-849 sq.ft.).
Interested bidders will need to visit the sales center and register themselves. Tour the condo and pick the unit(s) they desire to bid. Talk to their preferred lender, either with Wells Fargo or Countrywide and pick up a bidding package.
On bidding day, home buyers should arrive with a $1,000 cashier check written out to themselves (presumably this will help show you're not just a window shopper). The bidding will start at $10,000 increments. If you are successful in the bidding, you would need to provide another $1,500 check to make the deposit for the home. The home would also need to close in 30 days.
Bidding for their 17 homes start at $95,000 for studio, $195,000 for one bedroom and $215,000 for two bedroom. For context, the 2BR's were listed for low 300's back in August. Only one bedroom and two bedroom homes come with parking. Based on their sold units, the two bedroom units will give home buyers the biggest room for bidding. If the seller actually honors those minimal bid prices and there aren't a lot of people in a position to pull the trigger, a 2BR for potentially only $215,00 could be a risk tolerant investor's opportunity.