$275,000 to $625,000: The Anatomy of a DC Property Auction

by Shilpi Paul

$275,000 to $625,000: The Anatomy of a DC Property Auction: Figure 1
A crowd gathering in front of 1952 2nd Street NW

On Thursday afternoon, a property auction was conducted for a rowhouse shell at 1952 2nd Street NW (map). On its face, the LeDroit Park home would not seem like the type of property that would incite a bidding war. It has plain facade, a completely gutted interior that appears to have fire damage, and the winner would need to embark on a complete rehab.

The bidding started out at $275,000. When all was said and done, it was auctioned for $625,000.

Most of the 50 or so bidders were investors or developers. For Andrew and Sharon Goods, it was their second auction of the day; they had just come from winning a similar auction for a property at 3813 New Hampshire Avenue NW.

However, there were a few bidders that came out who actually wanted to buy, rehab and then live in the property. Fed up with being outbid in more traditional real estate transactions, many hopeful owner-occupants were attracted to the auction by the initial price. They soon realized that they were out of their league.

Within a minute of starting, the bid jumped from $275,000 to $550,000. After that, the bidders became a little more cautious, but the pace remained swift. The bidding finally ended at $625,000, and the slightly stunned looking winner was swept away by the organizers to sign papers.

$275,000 to $625,000: The Anatomy of a DC Property Auction: Figure 2
The auction in progress.

The proceedings, led by Alex Cooper Auctioneers, were conducted in a manner full of classic auction devices: a fast talking, “going once, going twice” auctioneer, and subtle hand motions from bidders indicating their interest (this reporter got a little nervous she was in the game after waving to a friend).

Required of all bidders at the auction was a $20,000 deposit in the form of cash, a cashier’s check or a certified check, due at the time of sale. By today, the new owner is required to bring that deposit total up to 10 percent of the purchase price.

What will be done with the property is unclear, but all signs point to the new owner making it a two-four unit property, as is being done with similar properties across the city. The auctioneers suggested adding a third above-grade level or underpinning the cellar to create a lower-level unit. They also suggested creating an addition in the backyard of up to 30 feet.

UrbanTurf will keep an eye on it and let you know what happens.

See other articles related to: ledroit park, investment properties, auction

This article originally published at https://dc.urbanturf.com/articles/blog/shell_in_ledroit_park_auctioned_for_625000/6954

DC Real Estate Guides

Short guides to navigating the DC-area real estate market

We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Visit guides.urbanturf.com or start browsing below!

Northern Virginia

Profiles of 14 neighborhoods across Northern Virginia

Looking to Give People A Reason to Stay Past 6pm
Happily Straddling the Line Between City and Suburb
Columbia Pike
Arlington’s Neglected Stepchild is Getting a Makeover
Crystal City
Turning Lemons into Lemonade
Lyon Village
Developing An Air of Exclusivity?
Hitting Its Growth Spurt
An Urban Village Hitting Its Stride
Del Ray
Virginia’s Small Town Near the Big City
Eisenhower Avenue
The Vibrancy Might Take a Few Years
The Quiet Neighborhood By the Beltway
Old Town
Mayberry By The Potomac
132 Commerical-Free Acres
Downtown Falls Church
Staying the Same in the Midst of Change
Tysons Corner
Radical Change Could Be On The Way

See more Northern Virginia »


Profiles of 14 neighborhoods in suburban Maryland

Small-Town Living in the State Capital
Bedroom Community Gets Buzzing Cache
Cabin John
In With The New While Maintaining the Old
Chevy Chase
Affluence, Green Lawns and Pricey Homes
Downtown Silver Spring
Experiencing a Resurgence After a Bumpy History
A Suburb on Steroids
Rockville Town Square
Despite the Dynamism, Still Somewhat Generic
Takoma Park
More Than a Little Bit Quirky
A Foodie Magnet on the Verge of Change
Capitol Heights
Kudzu, Front Porches and Crime
Glass Half Full or Half Empty?
Mount Rainier
Artists, Affordable Homes and A Silo Full of Corn
National Harbor
A Development Rises Next to the Potomac
Riverdale Park
A Town Looking For Its Identity

See more Maryland »

Northwest DC

30+ neighborhood profiles for the city's biggest quadrant

16th Street Heights
DC's Sleeper Neighborhood
Where (Almost) Everyone Knows Your Name
AU Park
One of DC’s Last Frontiers Before the Suburbs
DC’s Northern Neighborhood on the Cusp
DC’s 535 House Neighborhood
Cathedral Heights
Do You Know Where That Is?
Chevy Chase DC
Not to Be Confused With the Other Chevy Chase
Cleveland Park
Coming Back After A Rough Year
Columbia Heights
DC’s Most Diverse Neighborhood, But For How Long?
An Island of Serenity East of the Park
Dupont Circle
The Best of DC (For a Price)
Foggy Bottom & West End
Where the Institutional Meets the International
Forest Hills
Ambassadors and Adventurous Architecture
Foxhall Village
350 Homes Just West of Georgetown
Friendship Heights
A Shopping Mecca With a Few Places to Live
History, Hoyas and H&M
Glover Park
One of DC’s Preppier and More Family-Friendly Neighborhoods
A Posh View From Embassy Row
LeDroit Park
A Quiet Enclave in the Middle of the City
Logan Circle
Trendy Now, But Not By Accident
Mount Pleasant
Sought-After Homes Surround Main Street in Transition
Mount Vernon Triangle
From Seedy to Sought-After
The Long, Skinny Neighborhood at the City’s Northwest Edge
Park View
It’s Not Petworth
Penn Quarter/Chinatown
DC’s Go-Go-Go Neighborhood
Getting a Vibrancy of Its Own
The Duke’s Former Stomping Ground
Shepherd Park
DC’s Garden of Diversity
Spring Valley
A Suburb With a DC Zip Code
Not To Be Confused With Takoma Park
Not Quite Like Its Neighbors
U Street Corridor
The Difference a Decade Makes
Woodley Park
Deceptively Residential
Adams Morgan
No Longer DC’s Hippest Neighborhood, But Still Loved by Residents

See more Northwest DC »

Southwest DC

The little quadrant that could

Southwest Waterfront
A Neighborhood Where A Change Is Gonna Come

See more Southwest DC »

Northeast DC

Profiles of 10 neighborhoods in NE

New Development Could Shake Up Pastoral Peace
A Little Bit of Country Just Inside the District’s Borders
Not to Be Confused With Bloomingdale
Fort Totten
Five Years Could Make a Big Difference
H Street
A Place To Party, and To Settle Down
The Northeast Neighborhood That Few Know About
Michigan Park
A Newsletter-On-Your-Doorstep Community
Evolving from a Brand to a Neighborhood
Ripe for Investment Right About Now
The Difference 5 Years Makes
Big Houses, A Dusty Commercial Strip and Potential

See more Northeast DC »

Southeast DC

6 neighborhoods from Capitol Hill to East of the River

Capitol Riverfront
Still Growing
Hill East
Capitol Hill’s Lesser Known Neighbor
Congress Heights
Gradually Rising
Notable for Its Neighborliness
Historic Anacostia
Future Promise Breeds Cautious Optimism
Eastern Market
A More European Way of Living

See more Southeast DC »