Property can be purchased at bargain prices at judicial auctions
Given that the financial situation of more than 10% of Italian families is rather precarious or disastrous, with many foreclosures, the amount of real estate offered at auction is very important. So there is a way to do good business, often well below the market price of the property sold at auction. The assistance of a real estate lawyer is valuable because these goods are sold as they are, no recourse is possible in case of hidden defects or monetary obligations regarding the property, which will be borne by the purchaser.
What are judicial real estate sales
Judicial auction sales are the instrument by which the judicial authority sells assets of foreclosures, bankruptcies, etc.
All except the debtor, may participate in judicial sales without the assistance of a lawyer or other professional (art.579 of the Code of Civil Procedure). The goods are generally estimated by experts appointed by the Court. In addition to the price of the hammer, purchasers pay the sales tax and taxes, if any.
The sale takes place in the situation where the real estate is located and is not subject to the rules regarding the guarantee against defects or lack of quality, nor will be resolved without reason. The existence of any defect, the lack of quality or non-conformity of the thing sold will not give rise to any refund.
The property is sold in the state of law in which it is and you acquire it as it is. Numbers may not respect cadastral compliance, construction may even be unauthorized. That is why the assistance of an Italian real estate lawyer is almost indispensable.
Rules of sale of real estate at auction
The following guidelines are of a general nature and vary according to the practices and regulations adopted by the competent Court. ALWAYS MUST BE REPORTED to the information in the order AND / OR SALES PROCESS on hold.
Presentation of offers to the auction without direct verbal auction
Offers must be submitted in a sealed envelope addressed, in sales made personally by the execution of the judge, to the Executions Section or to the Commercial Delegate of the competent court according to the schedule and content following the notice of sale and established by the law and by the competent court.
The offer on stamped paper (with stamp affixed) must contain:
Name, date and place of birth, social security number, address, marital status, telephone number of the person paying the property, who will also be present at the hearing set for sale, or via its attorney. If the tenderer is married under a legal regime of communion of goods, the corresponding data of the spouse must also be provided.
• the identity of the property for which the offer is being offered;
• indication of the price offered, which can not be lower than the minimum price indicated, under penalty of exclusion;
• the deadline for payment of price and tax charges, not exceeding 60 days, as well as the terms of payment of the prize and any other information relevant to the evaluation of the bids;
• the express statement that you have read the assessment.
In the envelope all documentation must be inserted. The deposit will be withheld if there is refusal to purchase. The offer presented in the auction is irrevocable.
The amount of the tax burden will be indicated to the successful tenderer after the award and must be paid in the same period of the balance due. In the event of default, the sale will be canceled and the winning bidder will lose the deposit.
If several tenders are valid, an offer will be made on the basis of the best offer.
How to participate in a direct, verbal auction
To participate in the auction, you must pay the security deposit equal to 10% of the base price in the time and according to the rules established by the competent court. The warranty is returned immediately after the end of the auction.
• Auctions are not effective if they do not exceed the base price or the previous offer to the extent provided.
• Tenders must be made in person or by a representative with a special power of attorney.
• After the end of the auction, bids can still be made within ten days, but they are not effective if the price offered does not exceed one fifth of the bid price.
• The sale must be paid within 60 days of the award by a bank check. The sale takes place in the factual and legal state in which the goods are located, with all the possible relevance, accessions, lands and actions, servitudes.
The existence of any defect, lack of quality or non-conformity of the goods sold, costs of any kind – including, for example, those arising from the possible need to adapt the property to the laws in force, monthly payments for the current year and the previous year that are not paid by the debtor – for any reason not considered, even if hidden but not highlighted in the report, will not give rise to any refund.
Costs and expenses for successful auction
In addition to the auction price, only taxes are paid. The sale is not affected by notarial deeds, unless there is remuneration for a notary who carried out the auction by delegation of the court.