Purchase and Sale Agreement

 Bidder Registration Form

 I.  THE AUCTION PROCESS

Our 4-step auctions are very different from ‘courthouse steps’ auctions.

Step 1: Inspection. You are strongly encouraged to inspect the property or properties you are interested in using the services of a professional inspector. We have scheduled three open houses expressly for this purpose. The auction is conducted without contingencies so you must conduct your inspection(s) before the auction.

Step 2: Arrange Financing. Almost all bidders at our auctions use some form of financing to close on their purchase. Please remember that you must arrange all financing before the auction so that you know how much you can afford to bid at the auction. (See additional financing information below.)

Step 3: Attend the Auction. The auction will establish the price for each property through live, competitive bidding. All cash is NOT needed on auction day! Each winning bidder will endorse a $5,000 cashiers check for their deposit and will sign a Purchase and Sale Agreement

Step 4: Proceed to Closing. This step is very similar to a conventional real estate purchase. Closing will take place at Central Washington Escrow in Wenatchee, 30 days after the auction.

II.  AUCTION SPECIFICS

Auction Date and Time: Saturday, May 31^st. Registration begins at 1PM and the auction begins at 2:30PM. (We recommend arriving at 1PM.) You or your representative must be present to bid. If you are sending a representative to bid on your behalf, call Northwest Auctions for details at (888)222-1882. We do not offer internet bidding.

Items to bring on Auction Day:                                 

1) A completed Bidder Registration Form.

2) A current drivers license.

3) A $5,000 cashiers checks made out to yourself. (You will need multiple checks if you plan to purchase multiple properties.) Cash and personal checks will not be accepted at the auction. You will only receive a bidders number if you are in possession of a cashiers check; in fairness to all bidders there will be no exceptions.

Opening Bid:  The opening bid amount is from $139,000 to $169,000, depending on the property. (The exact opening bid amount is listed on each Property Information page.)

Inclement Weather: In the event of snow or ice on auction day, check www.NWAuctions.com for updates or postponement information.

Spectators: Everyone is welcome to attend the auction but registered bidders will be seated first.

 III.  SPECIAL OFFERS

Buy Now Pricing

We have seen it happen more than once; two bidders badly want a particular property and get into a bidding war. When the dust settles, the winning bidder may have paid more than they expected and the losing bidder is very disappointed.

To help prevent this situation, the seller has agreed to make each property available before the auction at special Buy Now prices. If a potential bidder has their heart set on a particular property, they can purchase it before the auction at a $5,000 discount from current listing prices!

Quick Close

The seller will pay a $1,000 Quick Close bonus at closing to any purchaser who chooses to close within 5 business days after the auction.

IV.  FINANCING

Bidders are welcome and encouraged to arrange conventional financing from a lender or mortgage broker of their choice before the auction. In addition, the seller has arranged a local bi-lingual contact for financing:

A financing company representative will also be present at the Auction Information Center during the open houses on May 17^th and 24^th.

V.  CLOSING COSTS

    VI.  A NOTE ABOUT BID RIGGING

Some bidders at auctions are understandably concerned about the possibility of “bid rigging” where a “shill” or “plant” places bids they have no intention of honoring, in an attempt to artificially drive up the price.

Please know that bid rigging in any form is a felony, punishable by a fine of up to $10,000,000 for a corporation or $350,000 for an individual, plus up to three years in prison for each participant. Northwest Auctions uses a variety of safeguards to protect our bidders and ourselves against bid rigging and we will cooperate fully with any local or federal prosecution efforts.

VII.  AUCTION TERMS AND CONDITIONS

As Is:  Each winning bidder will be purchasing the property As Is. Seller makes no warranties, express or implied regarding the property or its related improvements or contents. Bidders are strongly encouraged to inspect the property during any of the three open houses prior to the auction.

 Each home is brand new and includes a “2-10” ten year warranty against construction defects, purchased by the builder in the name of the buyer. Warranty details can be seen at http://www.2-10.com/page-1068.htm .

Without Contingencies:  The buyer will be purchasing the property without contingencies of any kind, including but not limited to financing or inspection.

Subject to Seller Confirmation:  The seller has reserved the right to accept or reject the highest bid.

Closing Date: Closing must happen within 30 days of the auction date. If for any reason the buyer fails to close by the closing date, they will lose their Earnest Money Deposit.

Buyers Premium:  A 5% Buyers Premium will be added to the winning bid amount to calculate the Total Purchase Price for that property. For example, if the winning bid is $200,000, the corresponding Total Purchase Price will be $200,000 + 5%, or $210,000. Please keep the buyers premium in mind as you bid.

Inspect properties and/or attend the auction only at your own risk:  Northwest Auction Group, LLC, In-City Real Estate (Broker), Seller and their agents and employees expressly disclaim any “invitee” relationship and shall not be liable to any person for damages to their person or property while in, on or about these properties, nor shall they be liable for hidden defects, dangers or conditions. All persons shall be on the premises at their own risk and shall defend, indemnify and hold harmless Broker, Seller, Auction Company and their agents and employees from any and all liability attendant thereto.

Agency Disclosure:  In-City Real Estate and Northwest Auction Group, LLC represent the seller only and do not inspect properties or represent the buyer in any way.

Seller Disclosure Statement:  Please refer to the Seller Disclosure Statement (which is posted on each Property Information page) before bidding. This is a no-contingency sale, so the winning bidder specifically waives any right to rescind their Purchase and Sale Agreement for any reason related to seller disclosure.

Accuracy: The information on this web site is provided as a courtesy to potential bidders and is not guaranteed to be accurate. Each bidder must independently verify all information regarding the property they are interested in buying.

Title Insurance:  Seller will provide a commitment letter for a title insurance policy. If the winning bidder wishes to purchase Title Insurance for the property, they must pay the cost. Since these are new homes, each buyer will qualify for a reduced New Construction rate.

Each bid is binding.  Once the auctioneer accepts a bid, a contract is established and that bidder may not withdraw the bid.

Day of Sale Announcements:  Any announcements on auction day take precedence over previously distributed information and materials. Any decisions by the Auctioneer on auction day are final.

Subject to Prior Sale: All properties are subject to prior sale through the Buy Now program. Please note: If a property sells to someone else prior to the auction and you have already had it inspected by a professional inspector, the seller will refund your full inspection cost (up to $450) upon presentation of proof of payment.