Government Real Estate Auctions

It’s definitely no secret that many property investors made big bucks with government property auctions. Because the market for government real estate is just as exiting as its ever been, investors will do well to be hawkish on finding deals here.

Auctions of government property are conducted on real estate that the government both owned and property that was seized. It is really the property auctions where the real estate has been confiscated that most investors pay close attention to. The government have no financial interest in the property sold and you’ll therefore find the ‘item’s going for giveaway prices.

Although you’ll find that there are a large number of state and federal agencies that confscate real estate in the US, only a fraction of them are worth your attention. Let’s look at these very briefly:

Department of the Treasury

A large number of government institutions rely on the treasury department to seize assets, various good and real estate on behalf of them. These seizures also include work conducted on behalf of the United States Secret Service as well as US Customs. The reason for this is generally because of criminal activity that lead to arrests, indictment and conviction.

Investors can take comfort in the fact that the auctions are available for everyone to participate in. This obviously also means that competition can get pretty intense. This shouldn’t ne an issue however as all you need to do is not bid more than an accpetable price which you determined beforehand. These real estate auctions are announced in a number of different ways, predominantly through online newsletters as well newspapers across the state and country.

US Marshall’s Department

This functional agency have the responsibility to confiscate as well as sell (through auctions) confiscated real estate seized from criminals. They do this for quite a few agencies which include the FBI, the Drug Enforcement Agency and others.

Internal Revenue Service

Just about everyone is familiar with the Internal Revenue Service. Their man function is to make sure corporate and other citizens adhere to the country’s tax laws. It’s a truth of society that many people evade their tax payments and they are almost always caught doing so. This violation of the tax code prompts the Internal Revnue service to seize the goods and property of criminals and sell them at a government real estate auction.

The main point of these auctions for investors are the ability to participate as well as the opportunity to buy great real estate at a fraction of their true market value. Generally you can count yourself extremely luck if you walk away with a once in a lifetime deal on your first couple of auctions. Even though this is not inconceivable, you usually need to apply yourself, attend the auctions as frequently as possible and the result will be a great real estate investment.