First Time Bidders Information
Explain
the auction process
IRS
auctions are conducted generally as “live” auctions where the bidders are
physically present to bid.
Occasionally
an auction is conducted as a “Sealed Bid” where all bids are mailed, and then
opened at the same time.
The
type of auction is always announced as part of the sale notice.
What
is a mail- in bid?
A
mail in bid is a courtesy to those that can not attend the physical auction.
While not present on every sale, it allows a bidder to place their bid, which
is then incorporated into the actual auction. The conditions present for a
mail-in bid are spelled out on the bid form.
What’s
the difference between a sealed bid and a mail-in bid?
The
sealed bid is a specific type of auction where all bids are mailed and are
limited to one bid per envelope. Mail-in Bids are used as part of the live
auction, where the bids can be raised by those actually attending the physical
auction.
What
is being sold?
The
items sold are the rights, title, and interest of the person/entity from whom
the asset was seized. The sale is conducted subject to any senior encumbrance.
What’s
an encumbrance?
An
encumbrance is something that attaches to the asset, be it a loan on a car, a
mortgage on a house, a judgment, or a tax lien.
How
do I found out about the encumbrances?
For
each sale the auctioneer creates a Notice of Encumbrances which lists out what
possible encumbrances were found during our research. While we can not guaranty
its accuracy, it is a good faith search in an effort to provide the bidder with
the information.
Do
I have to pay all the encumbrances in addition to my bid?
The
winning bidder is only responsible for those encumbrances that fall senior to
the IRS’s lien position.
How
do I determine who is senior?
While
we will not advise you on such matters the Notice of Encumbrance will give you
information such as when the encumbering documents were filed, which is a good
indicator of whom is senior to whom.
The
only items on the Notice of Encumbrance are Notices of Federal Tax Lien, do I have to pay those?
The
Notices of Federal Tax Lien are the documents that the government filed to
protect it’s interest in the seized parties assets.
The sale of the asset is being done to secure funds to pay down those
liabilities. The winning bid is applied to the liability and the sold asset is
discharged from those Notices of Federal Tax Lien.
Can
I Pay by Credit Card or Personal Check?
No,
the terms of sale generally are for certified funds or cash.
Can
I bid, and then pay later?
As
a general answer, no. The terms of the sale are announced as part
of the sale notice. If a deferred payment is allowed the terms will be stated
as part of that notice of sale.
An
auctioneer may also make an announcement at the time of the sale of any changes
to the terms of payment.
How
do I get the items I bid on?
All
assets are sold “where is” and “as is”. Once the sale, and its terms are
concluded the asset is yours. Further storage or moving becomes the
responsibility of the winning bidder.
Will
you ship the item to me?
No,
the assets are sold “where is” and “as is”
Can
I buy items before the auction?
No,
the auction is the procedure that the government has for selling seized items.
Can
I bid online?
No.
Unless announced as part of the sale, auctions
cannot be bid online as we often times are at remote locations not conducive to
having a computer running.
Can
I phone in a bid?
No.
Unless
specifically announced as part of the Notice of Sale, this is not an option
What
is a minimum bid?
To
protect the Government’s and the entity from whom the asset was seized, a
minimum figure is established for each sale or asset which much be reached for
the sale to be finalized.
Is
the minimum bid announced?
It
is at the discretion of the auctioneer as to if the minimum bid is announced.
There
is no requirement to do so.
How
do I know how much to bid?
It
is up to each bidder to determine the value of the item being sold, as it is
their money being spent.
What
condition is the asset in?
Because
of the amount of sales each auctioneer is currently working, they are often
limited to the same information which has already been distributed. Bidders are
encouraged to attend the physical viewing to form their own opinion on the
condition of the asset being sold.
All
seized property is sold under the following statement.
All property is offered for sale
''where is'' and ''as is'' and without recourse against the
Vehicle
Questions
What
Kind of Title Do I Get?
We
do not issue titles, as that is a state function. Rather, the transferring
document is a Certificate of Sale. This is accompanied by an odometer statement
for the sales of motor vehicles. These two documents are what are taken to your
local DMV.
Real
Estate Questions