TERMS AND CONDITIONS
ONLINE AUCTION – MORTGAGE NOTES
This auction will take place within the framework of the rules listed below and other provisions that the auctioneer may add by email or as posted on www.reposubasta.com. Bidder (s) and auctioneer (s) agree that the terms listed below will govern each and every online note auction.
REPOSUBASTAS (by REALITY REALTY) IS AN AUCTIONEER WORKING UNDER CONTRACT FOR THE OWNER OF THE NOTES. IT IS NOT A STATE OR FEDERALLY CHARTERED BANK OR CREDIT UNION. IT DOES NOT ACCEPT DEPOSITS AND IS NOT INSURED, AGAINST LOSS BY ANY LOCAL, STATE OR FEDERAL ENTITY INCLUDING COSSEC, THE FDIC OR ANY SIMILAR ENTITY.
BUYING NOTES HAS INHERENT RISKS, ESPECIALLY THOSE NOTES RELATED TO NON-PERFORMING LOANS. SOME MORTGAGE NOTES OFFERED IN THIS AUCTION ARE CURRENTLY UNDERGOING FORECLOSURE PROCEEDINGS IN LOCAL OR FEDERAL COURT, AT DIFFERENT STAGES OF THE PROCESS. UNDER NO CIRCUMSTANCES SHALL THE INFORMATION CONTAINED IN THE FOLLOWING LISTING CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY, NOR IT WOULD CONSTITUTE ANY SALE OF A “SECURITY” IN ANY JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE BE UNLAWFUL PRIOR TO REGISTRATION OR QUALIFICATION UNDER THE SECURITIES LAWS OF ANY SUCH JURISDICTION. IT IS EXPRESSLY UNDERSTOOD THAT NOTHING IN THE FOLLOWING LISTING CONSTITUTES INVESTMENT ADVICE. IF YOU REQUIRE INVESTMENT ADVICE YOU SHOULD CONTACT A PROFESSIONAL ADVISER.
BY CLICKING ACCEPTED YOU AFFIRM THAT YOU UNDERSTAND THE PROCESS AND THE RISKS INVOLVED IN BUYING MORTGAGE NOTES INCLUDING THOSE RELATED TO NON-PERFORMING LOANS UNDERGOING FORECLOSURE IN STATE AND/OR FEDERAL COURT.
AGREEMENT TO USE THE PLATFORM:
Access to our platform to restricted information will be allowed temporarily and we reserve the right to withdraw or modify the service we provide "online" without prior notice. We will not be responsible if for any reason our platform is not available at any time or during any period.
The auctioneer cannot, and will not be, responsible for any interruption in service, errors and / or omissions, caused by any means and does not guarantee a continuous, uninterrupted or error-free service or use of the website. The Bidder acknowledges that this auction is conducted electronically and is based on hardware and software that may malfunction without prior notice. The Auctioneer, in its sole discretion, may cancel any sale or temporarily suspend the bidding that has been affected by any malfunction. The auctioneer's decision is final.
Access to and use of the www.reposubasta.com platform is subject to each and every one of the specific terms and conditions established on any individual page within the platform and all applicable laws and regulations, including, among others, the laws of copyrights and trademarks.
All collateral photos appearing on this site are the property of the Debt Owner and / or their representative and should not be used without express written permission. By accessing this platform, you as a bidder accept without limitation all the terms and conditions of use of the platform that are in force at the time of your bid. Legal action will be taken against any person who violates the terms and conditions of the Platform Use Agreement or any other applicable law or regulation. Reposubasta reserves the right to periodically change the terms and conditions of the User Agreement and it is the Bidder's responsibility to periodically review each and every one of the changes made to these terms and conditions before each use of the platform.
The bidder who provides false information when registering, such as a false name or fraudulent contact information, could be permanently banned from this platform. Similarly, any use of private information by the Bidder is strictly prohibited.
REGISTRATION FOR THE AUCTION:
Registration is the way to confirm your intention to bid after having previously registered to participate in the auction of mortgage notes "online". Registration is permanently available for all notes to be auctioned online at www.reposubasta.com.
BIDDING REQUIREMENTS:
All registration information that the Bidder provides to the Auctioneer must be current, complete and accurate.
All bidders must be over 21 years of age.
Bidders must register on the www.reposubasta.com platform prior to bidding, read and approve the Terms & Conditions and send valid photo identifications. Only CASH offers will be considered that present the proper evidence of funds.
When registering on the platform you will receive an email with the Confidentiality Agreement document and the instructions to make the Minimum Initial Deposit. Said deposit will be for the sum of $1,500.00 as well as evidence of funds. The bidder may not bid for the same mortgage note more than once in the same event. Participation online requires a non-refundable payment of $75.00.
As a Bidder, you are responsible for any bid made with your assigned bid number and password. The security of your identification information as a Bidder is your sole responsibility, since you will be responsible for each and every one of the offers made with your number. If at any time you believe that your Bidder number and password have been compromised due to a lack of security on your part, you must notify the Auctioneer immediately.
RECOGNITION AND INSPECTION OF THE DATA OF THE MORTGAGE NOTES TO BE AUCTIONED:
The data provided in the mortgage notes is only intended to help prospective buyers to summarize the main terms and should not replace the full review and reading of the supporting documents available. Buyers and their professional advisers should read the full provisions carefully, as buyers will be deemed to have accepted and are bound by them.
The special conditions and confidential supplementary documents will be made available only to potential buyers who have made their initial minimum deposit at the time of registration and have read and signed the Confidentiality Agreement.
All bidders will be responsible for bidding at their own risk and it is understood that they are aware of all aspects related to the assets or notes they are acquiring. The bidder acknowledges that he is bidding for the "Transfer of Assets in the form of Debt" and its collateral in the existing legal condition. It is your duty and responsibility to review and evaluate all the financial information provided for each note and its collateral, prior to its bidding, as well as to obtain guidance from the relevant professionals. Neither Reality Realty nor its Reposubasta Division are responsible for any assumptions used by bidders for the decision-making of their offers.
Sales prices, minimum reserves, supplementary documents, plans, measurements and / or photographs of the notes and / or their collaterals that are shown in any marketing material have been provided by the Debt Owner and are only intended to be guides as information tools to facilitate the evaluation of assets and their collaterals. No guarantee is given as to its accuracy. Likewise, they will not necessarily be considered to be part of the terms and conditions of the sale in the Option Contract, so any decision of the Bidder must be at its sole discretion.
The Bidder agrees that it will NOT make any attempt to communicate with the debtor, the debtor's guarantor, or with the guarantor's or debtor's accountant, attorney, employee or any agent regarding the Confidential Information in the note at any time, either physically or verbally. Likewise, it is NOT ALLOWED to visit or physically inspect the collateral of the note to be sold. Violation of these terms and conditions may result in the imposition of criminal penalties under applicable federal and state law.
Once the bidder is registered, he accepts that the notes to be the object of the online auction are his entire knowledge and condition, and therefore he waives any claim to the Debt Owner and his representatives (REALITY REALTY). Options subject to further evaluation or inspection will NOT be accepted.
DEPOSIT:
The minimum deposit will be $1,500.00 to qualify for bidding. If the property is not awarded, the deposit will be returned within the next five (5) business days.
If the offer is approved, the minimum acceptable deposit will be $1,500.00 or ten percent (10%) of the sale price, whichever is greater. The bidder will have 48 hours to deposit the balance equivalent to 10%, if applicable. Failure to complete the deposit of the approved bids within the time period stipulated herein, the bidder will lose the initial minimum deposit and REALITY REALTY / Reposubasta Online, at its discretion, may offer and negotiate the note to the next bidder.
Any deposit given as an option for approved and awarded offers will be non-refundable. The Debt Owner and its representatives (REALITY REALTY), will not be responsible for the omission by the bidder or its authorized agent of an erroneous interpretation of financial data or the identification of collateral property and its conditions, as well as any identity or other legal error; likewise, this will not relieve the legal responsibilities incurred once the auction is awarded and the asset transfer option has been signed.
The award and sale of the notes to be auctioned must be CASH and are not subject to financing.
The deposit will only be accepted through Paypal with your Bank Account or Credit Card.
COMMISSION TO THE BUYER:
The buyer / bidder who wins and is awarded one or more notes will pay Reality Realty the equivalent of a commission of ten percent (10%) of the approved sale price, with the minimum commission being One Thousand Dollars ($1,000.00) for each mortgage note awarded. This commission will be paid in advance, without representing a deposit that is credited to the sale and will be a requirement for the signing of the option contract. The amount paid as commission will not be subject to refund under any circumstances.
PARTICIPATION OF EXTERNAL BROKERS
Every Real Estate Broker duly identified with his license issued by the State Department and that is in force, may participate for his client or bidder in the online auction. It will be an essential requirement for Real Estate brokers, to register as their client's broker. The registration procedure must be carried out through www.reposubasta.com and must be completed on behalf of the client, filling in all the requested information. In the same way, you must contact the Reposubasta staff to complete the co-broke document and Confidentiality Agreement.
Upon completion of the sale of the foreclosed property, the external Real Estate Broker, identified and validated with the buyer, will receive a one-point seventy-five percent (1.75%) commission of the sale price. The commission payment is subject to completion of the asset transfer closing of the awarded note. Only these documents duly validated by the Reposubasta staff will give you the right to collect a commission. Brokers and Investors who act as clients for the purchase of self-interest, bloodline or investment properties will not charge a commission nor may they be represented by any Real Estate Debt Broker or Owner.
TERMS OF SALE:
The opting parties acknowledge that the sale price agreed in the option contract will not be altered or subject to the result of any “due diligence” carried out during the term of the option.
The award and sale of the notes to be auctioned must be CASH and are not subject to financing.
Once the offer is accepted and awarded by the Debt Owner, the victorious bidder will be notified in writing and must sign the option contract and complete the corresponding deposit (if applicable) within 48 hours of acceptance. The Debt Owner will grant a successful bidder who signs the cash option contract and pays the deposit, a term of 48 hours to carry out the closing of the transfer. The option contract will not be valid until it is signed by the main parties. The winning bidder will be responsible for paying all legal fees for the asset transfer at closing. In the case of some collateral, the approved offer price may exclude outstanding balances for maintenance and / or contributions. The cases that apply will be duly identified.
The term "Subject to Confirmation" refers to the offers submitted that did not reach the minimum required by the Debt Owner party, in which case the note is automatically available and could be re-negotiated between the parties once the period ends. Bidding. All approved offer must be ratified by a Committee after its approval.
Block or multiple offers will be up to a maximum of five (5) mortgage notes per tender with a deposit applied proportionally to the transfer price, however, the owner could change this distribution as deemed necessary. If individual mortgage notes are awarded for the block and not the entire block, the bidder must complete the deposit balance for all approved mortgage notes.
If the bidder does not exercise the option to transfer the asset of a mortgage note that is awarded through an Online Reposubasta event, REALITY REALTY / Reposubasta and / or the Debt Owner, reserve the right to retain the deposit as compensation for the option granted to the bidder. The Debt Owner reserves the right to re-auction any note that is not formalized through the signing of the corresponding asset transfer deeds once the option term expires.
The bidder's option to be awarded a mortgage note at auction is NOT transferable without the prior consent of the Debt Owner. The Debt Owner reserves the right to deny the assignment or transfer of this option by the bidder at its sole discretion. The transfer of assets will be made through an attorney appointed by the Debt Owner. The Debt Owner will deliver the collateral by transfer of assets free of all encumbrances, taxes on real property and / or maintenance fees under the Puerto Rico Condominium Law, except in the case of properties where it is previously disclosed that, in In addition to the approved sale price, the pending balance for maintenance and contributions should be included. These cases will be duly identified prior to their bidding and the corresponding amounts will be available as part of the property description. The Debt Owner does not make any representation or guarantee the conditions of the collateral properties at the time of the asset transfer.
Every bidder / buyer acknowledges that they have had the opportunity to review and evaluate all the information available and shared on the mortgage notes and their collaterals and that in the event that their bid (s) are approved in the auction, they acquire it and they accept it under the terms and conditions established in this agreement. Likewise, Bidder recognizes that it is acquiring a note secured by a mortgage over a real estate property and that in case it is foreclosed it will it receive it in its current condition (“as is / where is”), occupied or vacant and under the disclosed legal condition. Likewise, it acknowledges that the Debt Owner nor its representatives (Reality Realty) designed or built the structure (s) located in the collateral property, if any, and that it has not used it for any purpose. The bidder / buyer relieves the Debt Owner and his representatives (Reality Realty) of vices or construction defects that may exist in the collateral property of the note or that may appear in the future. When bidding for a mortgage note subject to this auction, the bidder / buyer ratifies and confirms that in the event that the same waiver is awarded, any guarantee as established in the Civil Code of Puerto Rico. REALITY REALTY, representatives of the Debt Owner, reserves the right to withdraw any mortgage note and its collateral from the online auction at any time, before or during the sale, or include others at your events.
The Debt Owner and its representatives reserve the right to reject each and every offer received at their sole discretion.
The highest final buyer will be appointed at the end of each auction. If a dispute arises between two or more Bidders, the Auctioneer, at its discretion, reserves the right to reopen the bidding. The appointment of the Buyer by the auctioneers will be final.
The auctioneer provides professional services as an independent contractor solely for the Debt Owner and is not responsible for statements made by other parties.
Bidder acknowledges that as a Bidder, placing an offer is a binding contract between Bidder and the Debt Owner / Auctioneer and the offer cannot be retracted. Once you make an offer, and if you win, you will be obligated to purchase the mortgage note at the mentioned price that you indicated as your offer. Bidding, winning, and then declining your purchase intent on this platform could be illegal and could result in legal proceedings.
The Debt Owner / Auctioneer of the mortgage note sold through this platform reserves the right to approve or reject each and every offer at its sole discretion.
REFUND OF OPTION:
If the bidder / buyer does not exercise the option within the term established in the asset transfer contract, REALITY REALTY (subsidiaries and / or affiliates) reserves the right to withhold the amount of money delivered as a deposit. This retention is made as compensation for liquated damages caused for the breach of the purchase option and for the property reservation period.
The Bidder acknowledges and accepts that the electronic signature of the parties to this Agreement will be considered original for all purposes.
REALITY REALTY, representatives of the Debt Owner, is not responsible for any information provided on the note being auctioned. REALITY REALTY and / or the Debt Owner assume no responsibility for errors or omissions in the advertising, promotion or listing of the notes. The method to be carried out in the online auction will be established by REALITY REALTY.
All information registered on the www.reposubasta.com platform may be used for marketing and promotion purposes of events, properties, or other relevant information of REALITY REALTY and / or its affiliated companies.
ACKNOWLEDGMENT AND ACCEPTANCE: The bidder and subscriber acknowledge and accept that they have read and understood these procedures, terms and conditions and that they are bound by them. We reserve the right of participation. The buyer as well as the Debt Owner acknowledge and accept the Terms & Conditions published on the www.reposubasta.com website.