LOS ANGELES—Los Angeles County is holding its first online auction. On May 28 to May 30, the county will sell 675 tax-defaulted properties through Bid4Assets.com, an online auction site that specializes in real estate properties. The starting bid will be $1,125 with a $5,000 deposit required to place bids.
Mark J. Saladino, the Los Angeles County treasurer and tax collector, the county made the choice to auction the properties online to reach a wider and more diverse audience. The sale of the properties will allow the county to recoup outstanding taxes and penalties owned to the county and place a greater number of properties back into the tax roll, which is beneficial to tax payers. Saladino was not available to comment for this story.
The buyer with the highest bid will win the property for which he was bidding. Participants must enroll with their $5,000 deposit by May 21, 2014 to bid on any of the properties. Each of the properties is sold as is, and it is the responsibility of the bidder to investigate the property prior to bidding.
Bid4Assets often works with local governments to auction off tax-defaulted properties and help the county recoup any losses. They have worked with several counties in California, from San Francisco to San Diego. Several years ago, they similarly sold off 500 tax-defaulted properties in Bakersfield for Kern County. The bidding price for those properties ranged from $250 to $74,000.