Fork in the Road (Auction Today!)
The brochure box was empty, but would a crowd come? Photo by Michael Williamson/The Washington Post
EN ROUTE TO ROANOKE, VA.--Most road trips have a starting point and a final destination--addresses that can be punched into MapQuest or Yahoo. But as Michael and I make our way across the nation, you’ll see that sometimes we will explore one place for a few days, and other times, jump from one state to another in an afternoon.
We might drive up a road we just came down, or take one most people would avoid. We’ll probably look lost if you trace us too closely on a map.
But unlike most road trips, we aren’t trying to get somewhere. We’re trying to get everywhere (or at least as many places as two people can go in a summer while stopping to unravel the stories of those who live there). Since little in life travels in a straight line, including the economy's impact, why should we? There are some places we’ve researched and know we must visit, but otherwise, we are depending on the suggestions of strangers, the latest happenings in the news and just plain luck.
If at any time, you think there is someplace we need to see or someone we need to meet, tell us. Tug at the steering wheel. After all, we are making this trip not just so The Post can chronicle what these economic times mean, but so that you get an instant picture of it.
We hope you'll feel you're traveling with us, even if the route is sometimes unpredictable.
Today, you’ll see, Michael and I are driving up the same I-81 we drove down. He saw a sign for a land auction (if you haven’t already figured it out, he’s big on signs), and we’re curious how many bidders will show. The recession is changing not only how people spend money, but also how land passes through their hands.
The first assignment Michael and I ever went on together was a foreclosure auction in Alexandria a few weeks ago. He wanted me to see the tuxedo-clad, bald-head-shining Jeff Johnson, who with exaggerated gestures and high pitch howls, almost makes one forget they are hoping to profit from another’s misfortune. The homes’ pre-valued prices felt familiar: $256,500, $540,000 and $770,000. The starting bids were what felt unreal: $500, $1,000, $5,000.
“A lot of this job is making an inexperienced crowd feel comfortable with the bidding process,” said Johnson, a second-generation auctioneer whom everyone calls "J.J." He added that there is a thrill in bidding. “You’re playing poker against the other people, for sure.”
On that day, Johnson and the other bid assistants downed shots of Red Bull before darting through the aisles, yelping and gesturing on behalf of bidders. Among this pack of howling wolves, Johnson was by far the loudest.
“Thank the Lord,” he boomed when a woman got a $272,000 condo in the District for $115,000. She jumped up and down and later told me it was the highest she could bid. “She’s on fire. She's on fire” Johnson said, pretending to fan her.
Dancing, flailing and pointing, Jeff Johnson appears to be doing Tai Chi in fast motion. Photo by Michael Williamson/The Washington Post
By
Theresa Vargas
|
June 5, 2009; 10:32 AM ET
Categories:
Behind the Wheel
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Posted by: greggb57@gmail.com | June 5, 2009 11:40 AM | Report abuse
At least the new owner will be able to afford the payments, better than letting it sit empty any more.
Posted by: jonnynach1 | June 5, 2009 11:50 AM | Report abuse
Experience has shown the new owner will face foreclosure as the valuations are fallling more than fifty-five percent of the previous valuations.
The new owner will be no better of than the previous owner as the economy has not changed and interests rates are the highest in years already, and refinancing is down considerably.
My experience has been that all around the country from California to Washington DC. My wife and I saw the carnage of lost jobs, container trains from Cali moving cheap imports across the country, advertised job losses, and people traveling like in the thirties looking for jobs asking other travelers if they have seen jobs from where they are traveling form or to.
The future looks as bleak as it did seventy years ago!
Patrick
Posted by: patmatthews | June 5, 2009 12:33 PM | Report abuse
"The homes’ pre-valued prices felt familiar: $256,500, $540,000 and $770,000. The starting bids were what felt unreal: $500, $1,000, $5,000."
Never mind the starting bids. Finally what did they go for?
Posted by: pKrishna43 | June 5, 2009 12:36 PM | Report abuse
I must say that I am enjoying this series. Great reportage--Theresa Vargas picks up on such telling details and is great at telling stories and showing the human side of what's going on without resorting to the "sob sister" type reporting that others attempting this kind of reporting fall into. And Michael Williamson was obviously an excellent choice for photographer--what an eye! Really liked the photo of the homeless man a few blogs back, and today's photo of the auctioneer!
Posted by: TheMike1 | June 5, 2009 12:37 PM | Report abuse
Experience has shown the new owner will face foreclosure as the valuations are fallling more than fifty-five percent of the previous valuations.
The new owner will be no better of than the previous owner as the economy has not changed and interests rates are the highest in years already, and refinancing is down considerably.
My experience has been that all around the country from California to Washington DC. My wife and I saw the carnage of lost jobs, container trains from Cali moving cheap imports across the country, advertised job losses, and people traveling like in the thirties looking for jobs asking other travelers if they have seen jobs from where they are traveling form or to.
The future looks as bleak as it did seventy years ago!
Patrick
Posted by: patmatthews
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jeez Patrick, don't be so gloom and doom...my agency is hiring about 40 people a week and some of the salaries are starting in the 6 figures. If you look for gloom, you're surely going to find it. My daughter came home from college and I called around and found her a decent job in one week in an office setting for the summer. You're right, people from the west coast are moving east to find jobs; but they are looking in all the wrong places. I asked a young lady who had recently relocated to the east coast to give me her resume to scout and she said she wasn't ready yet. Dah, you better get while the getting is good. I helped someone else get the same job making $90+K. There are jobs to be found, but people have to start thinking outside of the box.
Posted by: Beingsensible | June 5, 2009 1:55 PM | Report abuse
Best WAPO reporting since Dana Milbank's video report on the Al-Jazeera protests in Colorado. Love the picture of J.J. above.
GET A VIDEO RECORDER FOR NEXT REPORTS!
Posted by: lockmallup | June 5, 2009 2:23 PM | Report abuse
"“Thank the Lord,” he boomed when a woman got a $272,000 condo in the District for $115,000."
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I really hate casual statements like this because they confuse the notion of price and value.
The condo clearly doesn't have a value of 272K. That may have been the price that someone paid 2 or 3 years ago ... but that is price ... not value. Also, the buyer here is not taking advantage of anyone's misfortune. In all likelihood the condo was last purchased with no money down. The losses here are costing us all (via TARP, etc ...) as much or more than the persons who had to vacate. The buyer is getting something of a discount by buying thru an auction but it is nowhere close to the difference between 115K and 272K. Most of these auctions do have a reserve price below which the winning bid will not be accepted.
What I find interesting here is that the gamesmanship of selling continues unabated and unfazed by what has transpired. Salesman have no shame whatsoever.
Posted by: johnbowers | June 5, 2009 3:20 PM | Report abuse
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"Thank the Lord,” he boomed when a woman got a $272,000 condo in the District for $115,000.
How nice. I wonder how the former owners of the condo are feeling right now?