The owners of Atwater Place in South Waterfront announced recently that 40 homes in the building will be sold at auction on September 20^th. Many of you have called or emailed with comments and questions, so I thought I would speak up about this to help others understand what is happening, what it means for the marketplace and what you need to know if you want to participate.

Many people are talking about this auction as if it were a sorry situation, but that is absolutely not the case. The best thing for the marketplace is to have these condo buildings with many unsold homes have an auction to sell condos at prices that buyers are willing and eager to pay, rather than continue to sit with unsold homes that are priced as if we are going to go back to $400/SF! Well, that ain’t happening any time soon, and when the owners of condos understand that, we will have a healthy and active market again. The best thing for the current owners of homes in these buildings is that the rest of the homes get sold and the buildings get fully occupied by new homeowners who move in, shop in the nearby retail, take walks in the neighborhood and help make the building and neighborhood a vibrant place to live.

Atwater Place Condominiums at South Waterfront

The auction for Atwater Place is the first to happen in Portland’s downtown area so we will be learning on this one how the marketplace will respond. I believe it is a terrific opportunity for condo buyers to buy premium homes in a stellar building and a top quality neighborhood. These are all good features of A-grade property, the kind that every homeowner seeks, and the only reason these homes are not already sold is that they are priced too high on the builders’ price lists. The auction should give buyers the chance to set prices they are willing to pay, which may not be as low as the minimum bid, but which will be appropriate for the current economy and today’s market environment.

Here’s what you need to know if you are interested in attending the auction – and The Jackson Group is well prepared and available to assist you with any specific needs, from plain old information to full blown representation for a purchase. The seller will pay the fee for our services to represent you to buy at the auction, though there are some rules attached to that. Call us if you have questions, and plan to have one of us accompany you to visit the Auction Showroom to register you as our client.

Facts to know:

Auction Date and Location: 4:00PM Sunday, September 20, 2009

Marriott Portland Downtown

1401 SW Naito Parkway

Portland, OR 97201

40 Homes are offered for sale at the auction, with pre-set minimum bids which, if offered, will be accepted. The seller reserves the right to change the units offered at the auction and may do so based on buyer interest. The homes range in size from a 931SF 1-bedroom to a 2355SF premium home with minimum bid prices from $169,900 to $899,000. We have the complete list of homes plus floor plans, so call us if you want more details.

All potential buyers must be prequalified with one of the pre-approved lenders (Bank of America or MetLIfe Home Loans) prior to the auction – even if you intend to use your own lender. Cash buyers must provide proof of funds prior to the auction.

All buyers who wish to participate in the auction must be registered by submitting a completed written form by 7pm on September, 18^th. On auction day, bidders must have a cash equivalent (cashier’s check payable to yourself) of $2500 for each home they may purchase. Upon successful purchase, buyers must endorse their cashier’s check to Ticor Title Company and agree as part of their purchase agreement to increase their deposit to 3% of the sales price, which must be paid with a personal check payable to Ticor Title that evening.

Closing of all successful purchases shall happen by October 19^th, unless an extension is agreed to in writing with the seller.

There are at least a dozen other special conditions, so if you need more information, please call us and we can go through all the fine print with you. Again, we believe this is a positive event for the marketplace and we encourage people who may be interested in buying a downtown condo to get involved if only to learn and then determine if there is a positive possibility for them in this auction.

Have a great holiday weekend!

Becky