No. If you are the high bidder, then you are simply making an offer to purchase; the same as any other sale. You are only committed to purchase the home once the contract is executed and gone beyond the traditional “Option Period”. Again, this is the same as any other sale.
No. A deposit is not necessary in order participate in a 5 Day Method sale.
No. With a 5 Day Method sale the high bidder can finance the home or pay cash like any traditional real estate transaction.
Yes, a down payment and earnest money are required at the time of completing the contract (if the seller accepts the highest offer), as with any traditional real estate transaction.
No funds are required in order to place a bid.
Absolutely. You can have the home inspected during the “Option Period.” But typically, homes sold used the 5 Day Method are already pre-inspected by a licensed real estate inspector. Once the “Best Bid” is accepted and a real estate contract is executed, the transaction process is no different than a traditional real estate transaction.
You need to visit, register and inspect the property in order to be eligible to bid. You can register online or in person.
Some of the many benefits to a 5 Day Sale are: transparency of the sales process, having direct access to the seller to ask questions and paying market value. In addition, often the home is pre-inspected prior to the open house.