My First Attempt at an Online Real Estate Auction
The timer reached thirty minutes and the nerves began to set in.
I was the highest bidder in an online foreclosure auction. It was my first ever attempt to purchase an investment property. Countless times in the past I’ve participated in auctions on properties for clients but never for myself.
This time felt different.
It was a small condominium in western Suffolk County. I couldn’t view the interior. It was sold sight unseen.
For two weeks leading to the auction date, I devoted my late-night hours to analyzing various financial spreadsheets. Instead of dreams of sun-drenched Caribbean vacations, my sleep consisted of tossing and turning with terms like Cash-on-Cash Return and Gross Rent Multiplier dancing in my head.
I thought long and hard before I decided this was the right move to pursue. It’s an auction so the numbers always work up to a certain point. I was the highest bidder and I had some wiggle room beneath my maximum bid.
Another bidder enters the auction and is now in the lead with twenty minutes left. The questions and second-guessing reappeared.
Do I have the wherewithal to renovate this place?
What if I have trouble finding a good tenant?
I am scared.
As with most of life’s biggest decisions, there was an “a-ha” moment where the second-guessing became comical. I laughed to myself as if I should dare to question my initial conclusion. The current bid was still underneath my pre-determined maximum bid so why question the next move?
Just click the button and see what happens.
There are less than ten minutes left and I am the highest bidder again. The timer is now blinking red. The anxiety worsens. To combat it, I focus on the timer. Second after second as it counts down.
Three minutes left.
We’re almost there!
Is this really going to happen?!?
I stand up. Smiling ear to ear. The nerves creep back in and tell me standing up may jinx everything! I jump back in my chair and begin to chant out loud, Ten! Nine! Eight! Seven…
The timer disappeared. Is it really mine?
I’m going to be a real estate investor!
I’m overcome by so many emotions. Excitement. Joy. Angst.
It was the sense of accomplishment that stood out the most. This was a goal I put in motion at least twelve months prior to this auction and today was the first real step towards accomplishing it. I realized I had a long road ahead of me but they say the first step is always the hardest, right?
In case you’re wondering, the investment was a success. It’s currently fully renovated and rented. That process will be looked into further in future blog posts. I hope you enjoyed the small look into the emotions of participating in an online real estate auction.