How Long Do Public Storage Auctions Take? A Comprehensive Guide
Public storage auctions are a common method of resolving seized or foreclosed storage units. These auctions vary in duration and structure, with the main goal being to liquidate assets. Understanding the process and time requirements is crucial for bidders who are considering participating in such auctions.
Overview of the Auction Process
Public storage auctions generally take about 4 hours to complete. However, it's important to note that the auction duration can vary based on the number of units available for auction.
Unit Selection and Preparation
Before the auction officially starts, storage units are selected and prepared for inspection. Unlike private storage units, which are usually accessible at any time, public storage units are often kept in secure locations. Auction companies typically wait until there is a sufficient number of units that are behind on rent payments or otherwise in default to proceed with the auction.
After selecting the units, bidders are given the opportunity to inspect the contents of the storage units. This inspection is crucial as it allows bidders to assess the value of the items in the units, as well as to ensure the integrity of the property. However, bidders should note that they are not allowed to open boxes or remove items during the inspection period. This ensures a fair and transparent process, preventing any tampering or addition of items before the auction.
The Auction Process
Once the inspection period is over, the auction typically begins. Bidders are called to the auction floor, where they can continue their inspection of the units they are interested in. This is a critical phase as bidders should thoroughly examine the units to make informed bidding decisions. There are no restrictions on walking from bay to bay to inspect multiple units, allowing bidders to assess their options.
Bid Placement and Auction Dynamics
The auction process itself is straightforward. Bidders are encouraged to place their bids, starting from the lowest acceptable price. As the auction progresses, the price typically increases, with each bid representing a higher price willing to pay for the unit. Bidders who have done their due diligence and thoroughly inspected the units often have a better chance of finding a good deal.
Finalizing the AuctionThe auction concludes when the last bid is accepted, and the winning bidder is determined. After the auction, the winning bidder is responsible for clearing the unit and paying the agreed-upon price. It's common for bidders to have a limited period to remove the items and pay the sale price, often within 30 days.
Planning for a Public Storage Auction
Preparing for a public storage auction involves several key steps. First, it's important to research the auction company and the units being auctioned. This includes understanding the types of items typically found in storage units and their likely value. Additionally, bidders should ensure they have the necessary financial resources to bid and pay for a unit.
In addition to financial preparation, bidders should also secure any necessary transportation and storage facilities. Auctions can involve large items that may not be easily relocated, and having a plan is crucial to successfully completing the process. It's also advisable to bring locksmiths or professionals capable of assisting with the unlocking and removal of items.
Conclusion
Public storage auctions offer a unique opportunity for individuals and businesses to acquire property at a lower cost than the original purchase price. Understanding the auction process and timing can significantly improve the likelihood of success. By following the steps outlined above and being prepared, bidders can navigate the auction process with confidence and potentially secure valuable assets.