Auction House of Connecticut - Term and Conditions for Auctions

REAL ESTATE TERMS AND CONDITIONS

1. BIDDER REGISTRATION
All prospective bidder/buyers must register to bid.

A $25,000 certified or bank check made payable to the bidder/buyer will be required to bid at the live auction. The successful high bidder/buyer will be required to endorse the $25,000 certified or bank check to auctioneer's clients fund. This deposit is non-refundable.

Please bring photo identification to live auction. No personal or company checks accepted.

2. CLOSING
Closing will take place approximately 30 days after the auction sale date. The high bidder/buyer will not own the property until closing and therefore cannot enter the property without the seller's permission or collect rents.

3. PROPERTY INSPECTION
Preview and research of the property is essential. The property is being sold AS IS, WHERE IS and WITH ALL FAULTS. On site inspections: by appointment only, during designated open houses and day of sale until auction begins. Property will be sold subject to all easements, restrictions, zoning and other matters of record.

4. AUCTION FORMAT
All bidding is open and outcry. To bid at the live auction, you must hold up your bidders card and be acknowledged by the Auctioneer.

Internet bidding will be allowed.
See Internet Bidding instructions and bidding deadline.

5. DOCUMENTS AVAILABLE
A bidder/buyer information packet has been prepared for this property and includes the legal description, assessors card and map, property disclosure, specimen purchase and sale agreement and terms and conditions of sale.

6. REQUIREMENTS OF THE SUCCESSFUL HIGH BIDDER/BUYER
10% Buyers Premium will be added to the high bid to established the sales contract price. The successful high bidder/buyer will be required to sign a purchase & sale agreement immediately upon conclusion of the bidding (at the fall of the gavel), and will endorse the $25,000 non-refundable bank or certified check to the auctioneer's non-interest bearing clients fund account in which it will be deposited the next business day.

Within 5 business days, the high bidder/buyer will deposit with auctioneer an additional deposit which when added to the $25,000 equals 10% of the sales contract price. This amount shall also be a certified or bank check. The high bidder/buyer will close on the property approximately 30 days after the auction sale date and pay the balance of the contract sales price and any customary buyer closing costs at that time.

There are no contingencies for financing or inspections in the purchase and sale agreement. Guaranteed title will be provided by the seller at seller's expense, giving marketable title subject to restriction of record.

7. CONDUCT OF THE AUCTION
Conduct of the Auction and increments of bidding are at the discretion of the auctioneer. Seller and auctioneer reserve the right to refuse admittance to or expel anyone from the auction premises for interference with auction activities, creating a nuisance, canvassing, soliciting, or other reasons deemed necessary by the auctioneer.

When the gavel strikes the podium and the auctioneer cries "sold", the property is deemed to be under contract and high bidder/buyer are bound to the terms and conditions of the auction sale and the purchase and sale agreement. A minimum bid price or more plus 10% premium constitues a sale.

If the final high bid is less than the minimum bid, then the property will be sold subject to seller confirmation. The high bidder will be contacted within 48 hours from the auction sale and notified if the high bid price plus 10% buyers premium has been accepted by the sellers.

8. AGENCY DISCLOSURE
The Auction House of Connecticut, LLC, is a Connecticut licensed real estate brokerage company and is an agent of the seller only. The 10% Buyers Premium in no way creates any agency relationship between the Auction House of Connecticut, LLC and the high bidder/buyer. High bidder/buyer will be obligated to sign various agency disclosures and addendums ,which are in the bidder/buyer packet, when signing the purchase and sale agreement.

9. BROKER PARTICIPATION
A 2% commission based on the high bid will be paid to the Connecticut licensed real estate broker whose prospect has been properly registered with the auctioneer and successfully closes on this property within the closing period.

To qualify for the commission, the real estate broker must:

1. Register the bidder/buyer on their company letterhead prior to the auction and mail or fax to the auctioneer
2. Inspect the property with his/her client
3. Have the bidder/buyer sign a buyer brokerage agreement stating broker is a buyer's agent
4. Attend the auction with his/her client.

No broker will be recognized if the prospective bidder/buyer has previously contacted either the auctioneer or the listing broker. No commission will be paid to a broker whose agent is acting as a principal in this transaction. The broker will be requried to sign an affidavit stating that the broker nor any of the broker's agents are not a principal in this transaction. All commissions will be paid at transfer of title. There are no exceptions to this procedure and no oral registrations will be accepted.

10. INFORMATION
All information in this brochure was derived from sources believed to be correct, but is not guaranteed. Bidder/buyer shall rely entirely on their own information, judgement and inspection of property and records. This property is being sold, subject to seller confirmation. Any other terms and conditions will be announced day of the auction and will take precedence over printed material or any other oral statements made. The property will be sold subject to any existing leases, tenancies or occupants. Real estate taxes, utility bills, and other outstanding charges will be paid for by the seller until the closing.

TYPES OF AUCTIONS

1. MINIMUM BID AUCTION PROCEDURES
If there is a minimum bid on this property and the high bid equals or exceeds the minimum bid, the auction is absolute and the property will be sold. If the high bid is less than the minimum bid, the property will be sold subject to seller confirmation. The bidder will sign a purchase and sale agreement and endorse the deposit check over to the auctioneer. The seller will be contacted and an answer to the high bid will be given to the bidder within 48 hours. If the seller refuses the high bid, all deposit monies will be turned back to the bidder and the contract shall be null and void.

You may not bid below the minimum bid online. In the event that the minimum bid is not reached during the online auction. You may attend the live auction and submit a bid below the minimum or contact the auctioneer 24 hours ahead of the live auction to make arrangements to formally submit your bid according to the terms and conditions of the auction.

2. RESERVE AUCTION PROCEDURES
A Reserve Auction means that the seller has final decision on the high bid price. The property will be sold subject to seller confirmation. Just as in the Minimum Bid Auction, the high bidder will sign a purchase and sale agreement and endorse the deposit check over to the auctioneer's client fund. The seller will then be contacted and an answer given to the high bidder within 48 hours of the auction sale. If the high bid is rejected by the seller, all deposit monies will be returned to the high bidder and the purchase and sale agreement shall be null and void.

3. ABSOLUTE AUCTION PROCEDURES
An Absolute Auction means that the property will be sold to the highest bidder irregardless of price. There is no minimum bid and the seller does not have to authorize the sale.