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Frequently Asked
Questions
1.
How do I have a chance to buy a house?
Anyone
of legal age joins the club; and becomes a member FOR FREE.
Find a property you wish to bid; pay your
$69 Non-Refundable
bidders fee for each individual property in which you want
to bid, and wait for the auction to start.
2. 100% Guaranteed?
Yes,
at ANY TIME
during the life of the loan, if you want to return the house
to RE Champ, we will refund to you 100% of all monies you
paid for the loan
PERIOD.
The
property must be in as good or better condition as when it
was purchased.
3. When does the actual auction start?
When
the bidders pool is full, you will be notified via email
when the auction starts.
4. When does the actual auction end?
After
the designed auction time period is over and; there have
been no new bids (accepted bids must be higher than any
previous bid) for a 5 minute period. Then the winner is
announced via email to all auction participants via email.
5. Where does the auction take place?
All
auctions for RE Champ are held online via the internet.
6. Can I really win a house for a $10 monthly
payment (principle & interest)?
Yes, every auction is a NO MINIMUM- NO
RESERVE auction, so in theory; you could win with a $10 bid,
but most likely if you bid $10 a month; another person will
be $20 and so on. It is an auction and the property goes to
the one (1) highest bidder.
7. Tell me more about the monthly payment?
All
bids are based on monthly (P &I) Principle and Interest
payments. In addition to the payment on which you are
bidding, there will be monthly escrow fees for taxes and
insurance-just like any other mortgage. Example: Monthly P
& I is $500; taxes and insurance-estimated (this varies in
EVERY situation) $100 your TOTAL
monthly payment would be $600 in this example.
8. What are the requirements
to place a bid?
You
must be able to legally buy real estate in the state in
which the house is located. Usually 18-21 yrs old and
mentally competent. And
you must be able to bring your first month’s payment with
you to the actual closing of the sale.
9. What are the requirements
to qualify for the loan?
NONE
10. Tell me about the loan terms?
Fixed (no payment increases) Zero interest,
APR(varies by sales price); the term is determined
by the size of your monthly payment divided into the selling
price. Example: Seller price $160K,
Auction Price $160K if your winning bid is say $500
monthly (P &I), you would pay $500 every month for 320
months or26.67 years, after each monthly payment your equity
would increase by your monthly payment size, in this example
$500.
11. Who determines the Sales Price?
The
real estate professional, agent/broker who represents the
initial seller determines the price for any property. RE
Champ takes that and it becomes the price, the property will
be sold at auction. Example (
Agent says house has a value of $200K, RE
Champ puts it up for auction for $200K.)
12. Are there any
closing costs for the buyer?
None
13. Is this real
and what can I lose?
It
is very real. All
houses close through Title/Escrow Company. To join the
bidder’s pool for any specific property, everyone must pay a
$69 non-refundable bidders fee.
14. What happens if I fall behind on my
monthly mortgage payments?
First, you can return the house to REChamp and receive a
100% refund of all monies you paid on the loan, if you
choose not to do that; just like any other mortgage--if you
do not make your payments, your house will go through the
foreclosure process.
15. How do I know that there are not phantom
bidders or bots from REChamp?
First, no employee or family member is allowed to bid on any
RE Champ property at auction. Second, because RE Champ
makes plenty of profit from owning the loans, it is in RE
Champs’ best interest to keep the auctions as simple and
beyond questions as possible. Third, we have no bots or
condone their use in any way.
16. What is a closed bid?
A
closed bid means that only people in the bid pool are able
to place bids in the auction.
17. What is a bid pool?
A
bid pool is the group of people that have paid to be able to
place bids for a specific property.
18. Is there more than
one property
per bid pool?
No,
there is only one property per bid pool and only one bid
pool associated to each property.
19. Are there a
set number of people in a bid pool?
Yes,
the number of people in the bid pool is determined by the
stated value of the property( Stated value x 1.1 / 35 =
number of spots in bidder’s pool). Once this number is met
the bid pool will be closed and no more bidders will be
accepted.
20. What is a bid?
When
the auction starts each bid pool member can place bids
through the auction software.
21. Can I place more than
one bid?
Yes,
each bid pool member can raise the bid amount as long as it
is in multiples of the bid step amount.
22. What is a bid step amount?
A
bid step amount is the set amount that a bid must be above
the current bid. Example: bid step is $10 and the current
bid is $ 500 then next bid must be at least $ 510, but can
be more.
23. How does a person win?
The
highest bid at the end of the auction time wins the
property.
24. What if the time on my computer is
different than other peoples?
All
auction times are according to the time on the auction
server computer. The start and end times of the auction will
be taken from the server the auction is hosted on.
25. How will you have my email?
You
must enter an email address when you create a user ID. This
is the email that will be used.
26. Can I change my email address?
Yes,
by signing into the site with your user ID and password then
changing your personal data.
27. Is there a reserve
amount for any property?
There is no reserve amount for any property.
All auctioned properties will go to the person that
has bid the highest amount before the auction is over.
28. Can I place a bid after the auction time
limit has expired?
No,
all bids must be accepted by the auction software before the
stated end of the auction.
29. What happens if I pay my $69 but you
don't get enough people to fill the bidder's pool
You can use the fee
towards another property or you can get a 50% cash refund.
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