Domus Optima’s Reserve Real Estate Auction represents a variety of the most common English type of auction, where a real estate property is sold to the highest bidder only if the highest bid met or exceeded the Reserve Price. The Reserve Price is set by the seller prior to the auction and not disclosed to the bidders until the winner is announced.
All bidders compete on the SAME auction terms and conditions by submitting their ascending bids online with pre-defined bid increments and auto-extending auction closing time (soft closing).
Please find below a simplified flow chart of the Domus Optima™ Reserve Real Estate Auction:
The seller submits a Reserve Real Estate Auction listing application through his/her listing real estate agent/broker.
Upon obtaining home inspection and property appraisal reports, as well as the completion of all Domus Optima™ Reserve Real Estate Auction listing formalities, all auction terms are set, and the seller’s property is listed for the upcoming auction on an ‘as-is’ basis.
Potential buyers (along with their cooperating agents/brokers, if any) complete their due diligence (including visiting the seller’s property), obtain mortgage pre-approval (if mortgage is required), and register to participate in the upcoming Domus Optima™ Reserve Real Estate Auction along with transferring their Deposit Amount set by the seller (refundable to all non-winning bidders).
Domus Optima™ Reserve Real Estate Auction starts on the advertised date and time.
Registered potential buyers submit their ascending bids online on the SAME auction terms and conditions at or above the Starting Bid amount with pre-defined bid increments and auto-extending auction closing time (soft closing).
If a bid is placed within the last 3 minutes of the Reserve Real Estate Auction, the closing time will be automatically extended for an additional 3 minutes to allow other bidders to have a fair chance to compete.
At the auction closing time, if the Reserve Price set by the seller is not met, all the Reserve Real Estate Auction bidders will be informed that the reserve price has not been met and their deposits are refunded.
At the auction closing time, if the Reserve Price set by the seller is met, the highest bidder is declared as a winner of the auction. Deposits are refunded to all non-winning bidders.
The winning bidder provides all legal paperwork to the auction. The balance of the winning bid amount is due by the property closing date.
The winning bidder is responsible for the payment of all his/her closing costs, including, but not limited to Land Transfer Tax(es), Legal and Government Registration Fees.
On the property closing date, upon fulfilment of all legal formalities, the ownership and possession of the property is transferred to the auction winner, and the seller receives a cheque or bank transfer for the proceeds of the sale.