It is particularly common for banks to rush auctions at prices well below the value of the property. In such cases, the debtor may file an appeal to correct the auction price (which is essentially a request for correction of the seizure report).
This appeal seeks, in particular, to correct the description of the seized property and, consequently, its estimated value and, consequently, the initial bid price, which may be increased or decreased based on the debtor’s claims, evidence, and relevant request.
By filing this objection, the debtor manages to raise the price at which the property is auctioned and, on the one hand (if the auction ultimately takes place) to pay off a larger portion of their debts and, on the other hand, makes it more difficult to find a buyer through auction, with the result that very often the auction does not take place, and the debtor gains a significant amount of time, during which the property will remain in his ownership and use.
According to decision no. 2000/13.02.2023 of the Single-Member Court of First Instance of Thessaloniki, the certified appraiser (company), whose appraisal was taken into account by the court clerk, underestimated the central location of the property on key road axes and at points of connection with the public transport network, which provides direct access to both the city center and the surrounding municipalities, as well as to the city’s exit, and its proximity to schools and all kinds of public and private services necessary to serve its tenants, such as bank branches, public utilities, and shops, as well as the excellent internal condition of the apartment, given that no internal inspection of the apartment was carried out. Under these circumstances, in view of the location, size, age, quality, construction, and overall characteristics of the seized apartment and its amenities, which make it attractive, taking into account the fact that it is located in a privileged area, where there has been a significant increase in the value of residential properties over the last two years, with supply falling short of demand, it is likely that its commercial value amounts to €186,000.00 and not €146,506.00.Therefore, there is reason to correct the contested report of compulsory seizure with regard to the value of the above-mentioned auctioned apartment and its initial bid price, which should be set at €186,000.00.
The above decision prevents yet another E.D.A.D.P. (Loan and Credit Management Company) from presenting yet another property as an “opportunity” to directly serve its interests. After all, it is particularly common for lenders to rush to auction properties at prices well below their value.
In fact, it is striking that the property had already been listed on a popular real estate search website/platform, with only a description of the rooms and the area and, of course, only photos of the exterior, and was characterized as “a great choice for families and workers.” In other words, the property was promoted as a case where the quality and price were not in line with each other and there was a discrepancy between them, so that it could be sold immediately and for less than its real value.
Consequently, this diminishes both the physical and financial identity of the property and, of course, harms the debtor because their debts are not reduced.
