GLENDALE, Ariz. -- Home prices are climbing, but if you're still looking for a killer deal -- a first-of-its-kind home auction may be the answer.
The auction promises people a chance at getting a house for just a few bucks, maybe even a few pennies and the auction gets underway just as soon as all buy-ins are sold.
“It is a $125,000 house completely remodeled, turn-key and I believe it will go for less than $5,000,” said owner Todd Talbot.
Talbot is a real estate investor who's been buying and selling foreclosures for some 15 years, but he's approaching this Glendale home a little differently -- flipping it online in a penny auction.
“In our auction you have to buy a seat, seats are $150 we have to sell 1,000 seats before the auction can take place,” said Talbot.
Those seats are on sale now.
Buying one gets you 500 penny bids. That's 500,000 potential bids and a sale price of $5,000. However the house could actually sell before all those bids are placed, and for a lot less.
“A 60 second counter clock appears on the system and when someone bids in that 60 seconds those 60 seconds is refreshed,” said Talbot. But if no one bids in those 60 seconds then the last bid wins.
“So you have to decide when are you are going to bid are you going to bid every time it's one second or only bid at night when everyone is less likely to bid.”
After all, you only get 500 bids. So at the end of the day the first bid of a penny could win or it could be the last possible bid raising the purchase price to 5 thousand dollars. Not bad considering what you stand to win.
“It is 1500 square feet 4-bedroom 2-bath completely remodeled,” said Talbot.
Offering new tile, new carpet, new cabinets and Todd says, a new way to sell homes.
“We plan on doing houses all over the United States mostly in southern parts of United States, Nevada, California and Texas where the real estate market has been depressed and you can get some good deals,” said Talbot
The auction will start 24 hours after the last seat on BIDABODE.COM is sold.
For more information click here: BidAbode - Auction of remodeled Phoenix home