The home was a bank owned, single family ranch listed for $75,000. This was an “absolute auction”, which means the house would be sold to the highest bidder regardless of the price in its AS-IS condition with no buyer contingencies and the buyer had to close within 30 days plus a 10% buyers premium that would be added to the final bid price. Bidders had to show up with a $5,000 deposit in form of a cashier’s check. The auction was to take place at the house at 5PM.

My client and I arrived at the house at 4:30. There were several people going in and out of the house looking around and scoping out the other bidders. (If you are a people watcher, you would love this event) The auctioneer was set up in the house where we went to register to bid. My client gave the auctioneer the $5,000 check with photo ID and we were assigned a number to bid along with the purchase contract that would be used for the highest bidder. We were told the auctioneer would go over the purchase contract line by line right before the bidding began.

Promptly at 5 the auction began. There was about 50 people standing in the house and there were 20 registered bidders. The auctioneer went over the purchase agreement and disclosed a few defects he knew about the house. Then the bidding began. It started at $50,000 and immediately was bid to $60K, then $70, then $80, then $90 where the bidding paused for a moment and the auctioneer was asking for $100. He looked and called a few times, then a shout of $92.5, followed by $95. Then the auctioneer made some comments to lighten the tension and remind people that this price is much lower than the average sales in the area. The a shout came out at $100K. Then $101K. A pause for a few moments and then $102K. The auctioneer called for $103K, but that is where it stopped. “$102,000 going, once, twice, SOLD”. The event was over at 5:23 and another house was Sold in Worthington, Ohio. Does anyone have an auction experience they would like to share? Please contact me if you are interested in learning more about auctions in Central Ohio.

Well, the Senate passing the bail out bill last night that will go on to the House was good news therefore making mortgage rates go up. However, the jobless rate came out this morning and it was at a 7 year high (bad news) forcing mortgage rates down, more than offsetting the good bail out news. Crude Oil is also down $2.60 a barrel this morning bringing it down to around $96.00 a barrel and the dollar is up vs. the euro. Crude Oil coming down will help fight inflation. Inflation is the biggest factor in causing mortgage rates to go up. INFLATION IS NOT OUR FRIEND!!!

Today’s Rate: 6.000% 30 year fixed

5.750% 15 year fixed

5.750% 10/1 ARM

6.500%+ 1% Origination fee, First Time Homebuyer Bond Money

6.250% FHA

6.375% VA

30 days, escrow, $100K thru $417K loan amount, owner occupied, 740+ credit score (FHA, VA and Bond Money totally different perimeters), 0% point, 0% origination fee.

Mortgage Tip of the Day:
This upcoming Saturday, October 4, the Arlington Bank will be having a free “Shred Day” at our Reed Road office (my office). I will be there working. It will be from 9am to Noon, 4621 Reed Road. Bring your legal documents for us to shred for free. You can actually WATCH them being shredded on the spot if you like. (No cardboard, please)

Thought of the Day:
The whole art of life is knowing the right time to say things.

Today’s Fun Fact:
Albert Einstein’s last words were spoken in German. Since the attending nurse did not know the language, we’ll never know what he said.

Legal Stuff
These rates are effective as of Thurs., Oct. 2, 2008 11:30am. These rates change without notice.

This is an Advertisement.

Fixes Rates and 10/1 ARM Rates @80% LTV $100,000 loan amount

Bond Money Rates @ 97% LTV $100,000 loan amount

FHA Rates @ 97% LTV $100,000 loan amount

VA Rates @ 100% LTV $100,000 loan amount

30 Year Fixed APR 6.083% $599.55 Interest and Principal

15 Year Fixed APR 5.888% $830.41 Interest and Principal

10/1 ARM APR 5.512% $583.57 Interest and Principal, rate may change after consumption

Bond Money APR 7.179% $681.24 Interest, Principal, and Mortgage Insurance

FHA APR 6.882% $672.32 Interest, Principal, and Mortgage Insurance

VA APR 6.674% $638.84 Interest and Principal

Thanks for reading!!!!

Steve Wagner
The Arlington Bank
4621 Reed Road
Columbus, OH 43220
Office: 614-486-9104
Cell: 614-271-0888
Fax: 614-486-4078