BrokerageIndustry News

When the auction gavel isn’t final

From The Real Deal

Editor's note: This article is reposted with permission by The Real Deal. Click here to view the original article. By CATHARINE CURAN NEW YORK -- When is an auction of residential real estate not really a sale to the highest bidder? The answer, it turns out, is: far more often than you might think. With the high-profile auctions of luxury condos at the Locale in Greenpoint (Brooklyn) and Solaria in Riverdale (Bronx) in recent months, plus upstart auction firm Bid on the City's $1 starting bid sale in February in Manhattan, auction fever has been sweeping New York. Hundreds of potential buyers have salivated at a chance to score a New York City home at a far-below-market price simply by placing a winning bid and closing a sale soon after. Scratch the surface of recent residential real estate auctions in the New York metro area, however, and a far more complicated scenario emerges. For many auctioneers in New York, these bids are serving mainly ...