Buyer's Premium

A percentage of the high (winning) bid that is added to the high (winning) bid to establish the total purchase price.

An example of a 10% buyer's premium: if the high (winning) bid is $100,000, the buyer's premium is $10,000 and the total purchase price is $110,000.

Absolute Auction

At an absolute auction, the property will be sold to the highest bidder, regardless of price. This is often called an auction "without reserve."

Reserve Auction

At a reserve auction, the seller either announces in advance the minimum price ("reserve") that must be achieved at the auction, or reserves the right to confirm the highest bid at the end of the sale. Unless otherwise specified, auctions are reserve auctions.

As-Is, Where-Is Condition

The property is being sold in its current condition. No representation as to the condition of the property is being made, no warranty or guarantee is being implied, and no inspection or other contingencies apply.

Earnest Money

A deposit toward the purchase of real estate made by a buyer to demonstrate that he or she is serious, "earnest", about the purchase.