Can a Real Estate Auction Company extend my auction date?

Yes!  A new law allows you to postpone the auction date for up to 90 days

In California, if you’re facing foreclosure and have listed your home with a real estate auction company, broker or attorney, a new law allows you to postpone the trustee auction date by 45 to 90 days.

This postponement is triggered by submitting a valid listing agreement with a licensed real estate auction company or broker to the foreclosure trustee and lender at least five business days before the scheduled sale. This is a one-time postponement, and the law mandates this delay if the conditions are met. 

However, the challenge when using traditional real estate broker to sell your property, it is almost impossible to sell a property and close escrow in 45 days so lenders will have more trust with the auction company over a traditional home selling process.  Also, lenders and trustees are already using an auction company in selling their properties on the courthouse steps, and know that auctions sell homes as-is and faster.

At Jenkins Real Estate Auctions LLC, we will be glad to help you in the postponement of the lender selling your house on the courthouse steps or you having to file bankruptcy.

As I wrote… In California, if you’re facing foreclosure and have listed your home with a real estate auction company, broker or attorney, a new law allows you to postpone the trustee auction date by (45 to 90) days

This new California law AB2424 started on January 1^st of 2025, to provide specific protections for homeowners facing foreclosure. 

• One key provision is a guaranteed postponement of the foreclosure sale if a listing agreement with a licensed real estate broker or real estate auction company is submitted at least five business days before the sale. 
• This initial postponement can be followed by another 45-day postponement if a bona fide purchase agreement is submitted before the rescheduled sale.  Totaling up to 90 days.
• These laws also mandate that foreclosure sales cannot occur for less than 67% of the home’s fair market value at the initial auction. 

• Timeliness is Key:

It’s crucial to act quickly. The sooner you engage with a real estate auction company or broker and explore your options, the better your chances of avoiding or mitigating the foreclosure. As written, the homeowner has to act five business days before the scheduled sale.

This is why homeowners should think about selling their property using Jenkins Real Estate Auctions LLC!

1. When selling a property at auction, properties are sold (as-is and with no contingencies).  The buyer places a 3% (non-refundable) earnest deposit, and will forfeit their earnest deposit if they back out from closing escrow on the property.

• With our help, the seller will be protected from low-ball offers, because the law also mandates that foreclosure sales cannot occur for less than 67% of the home’s fair market value at the initial auction.

• Jenkins Real Estate Auctions are scheduled for a 30-day period and close in (15 to 30 days).

• Jenkins Real Estate Auctions LLC will set up one day for all potential buyers to view the property with their attorney or contractor and give time to run-the-numbers.

• The winning bidder pays our auction company a standard, non-refundable “buyer’s premium fee” at (5%) added to the winning dollar amount. This fee will be paid at the close of escrow.

• Sellers are expected to only pay a $250.00 internet transaction fee paid at the close of escrow.

• If the winning buyer does not have an attorney or buyer’s agent representing them, Jenkins Real Estate Auctions LLC may offer a (2%) buyer’s agent fee, if they use of one our approved agents and the buyer’s agent fee will be paid from the (our 5% buyer’s premium fee). We do this so that the seller is not expected to pay a buyer’s agent fee!

• The seller and or Jenkins Real Estate Auctions LLC will have the right to assign a title company for the transaction.  Most title companies are not familiar with how fast an auction transaction occurs and select an title company who moves very fast with the close of escrow.

Conclusion

The new 2025 California law, Assembly Bill 2424 (AB 2424) and codified with California Civil Code Section 2924f(e)(1) offers a lifeline to homeowners at risk of foreclosure by giving them more time to sell their property. If you know that you are facing foreclosure, act quickly to leverage these new protections.

Our goal is to help you save your home from bankruptcy or being sold on the courthouse steps!  Contact: Terry Jenkins (916) 588-0067 to see how we are able to be of help to you!  View our website for additional information: https://pre-foreclosurehelp.com.

We can help you with both sides of this. Whether you are looking at California

foreclosure laws from the homeowner’s perspective and trying to retain

ownership – or looking into a fast sale, to save your home… we can help!

Terry Jenkins – REALTOR® / Auctioneer

Century 21® Select Real Estate – DRE# 02096855

CREA – Certified Real Estate Auctioneer®

Jenkins Real Estate Auctions LLC – Entity # 202358616912

Registered: State of California Secretary of State – Bond # 387770D

Professional Affiliations

CREA Certified Real Estate Auctioneer®

C.A.R. Luxury Property Marketing® Certified

Certified – Luxury Home Property® Agent

Bank – REO Agent – Distressed Property Expert

Disclaimer: This material is provided for information purposes only and is not to be construed as financial, investment or tax advice. Readers are strongly advised to consult with their professional advisors regarding the information herein.