Bank of America Social Media Team called me about this post. Auction.com is associated with National Default Servicing, third party vendors for some of Bank of America's coop or HAFA programs. Participating in the Auction.com marketing agreement is optional. I decided not to participate. Again, please note your experiences here.
Wendy, from what I have read, a board member of Auction.com is an ex-executive from Deutsche Bank Securities and they are getting a lot of foreclosure auction business from multiple banks. Our neighbor foreclosed on his Deutsche Bank mortgage, he got $3k from them to live in the home while it was in escrow (with Auction.com) and to keep the lawn mowed and the house clean. In the end, Auction.com got 43 offers, the highest bidder paid $393k for the home and an $11k "buyer fee" which I assume went to Auction,com. Unfortunately, this fee is private and doesn't show up on the MLS as part of the true purchase price which should have been $413k. That would have helped a lot of us to be able to refi, but that is another story for another time.
Erik - Interesting. Do you really think the auction fee should have been listed? I am not sure. Some commissions are more or less, and some buyer closing costs are more. Maybe that's for another discussion. I opted out of the program because I felt it took control of my listing agreement, when I know how to market my own listings and dictate my own co-broke fees.
I have just received a quasi-threatening phone call that if I don't sign the Auction.com marketing agreement, they will pull my client out of the coop program. I am reporting this to the head of Bank of America social media.
UPDATE: Auction.com has backed off. Thank you to Bank of America social media team.
Way to go Wendy!
Wendy,I have no eperience with auction.com, related to BoA pre approved's, but these guys seem to be trying to muscle their way in, and take a piece of the short sale business since they know the REO auction train is fading. From listening to them at REO Expo, they are definitely wired in and looking to take a slice from us. Just my .02.
Wayne - I totally understand your way of looking at this. I am pleased that my matter has been closed and taken care of by Bank of America.
I'm getting the sales pitch from Auction.com...he's sending me the paperwork but I am very hesitant...I don't think this will generate any quality leads...perhaps more tire kickers?
I'll read through and find the "fine print"
The Co-op program is great though...they have reduced the listing agressively to get an offer...seems to be very motivated and I have not had to submit much information for these price reductions.
Marty - Please understand, this is NOT required. I feel Auction.com is pushing it to make the 5%. I did not sign the agreement because it changed my co-broke fee, and also interfered with my marketing by them interjecting THEIR marketing. I know what I am doing. This might work for some agents, but they need to understand it is VOLUNTARY. Your client cannot be KICKED out of the COOP program if you don't do the Auction.com plan.
Thanks Wendy....I know, I'm not giving up my 4% co broke to make them money...its certainly interesting fodder though...it makes me wonder if the REO industry is reading to move shadow inventory that they've been sitting on? who knows...
My name is Erin Gargan, and I work for Auction.com. If you visit http://www.auction.com/shortsale-auctions.php there is some great transparency on how our short sale auction process works. Hopefully this will help to clarify any outstanding questions any of you might have. If you would like to chat more about your questions and concerns, please contact our Director of Customer Service, Peter Chevalier ([email protected]) and he will walk you through anything you would like to understand more about. Thanks for all of the honest feedback. Sincerely,