Auction glossary
Every term you'll see on EquityDrop, in one line.
- Sheriff sale
- A court-ordered public auction run by the county sheriff to sell a property and pay a debt.
- Judgment
- The amount a court has ruled the borrower owes the lender. Bidding often starts near it.
- Upset price
- New Jersey term for the approximate amount owed (judgment plus costs); the plaintiff typically opens bidding near it.
- Equity
- Market value minus the debt being foreclosed. Positive equity is the potential profit before costs.
- Equity %
- Equity divided by market value.
- Opening / minimum bid
- The lowest bid the sale will accept — the debt, two-thirds of the appraisal (Ohio first sale), or taxes owed (tax sales).
- Assessed value
- The value the county uses for property tax. It may differ from market value (NJ assessments are often lower).
- Appraised value
- A value set by court-appointed appraisers before some sales (e.g. Ohio).
- Adjourned / postponed
- The sale was moved to a later date. Very common.
- Cancelled / withdrawn
- The sale won't happen — the owner paid, filed bankruptcy, or the lender stopped it.
- Plaintiff
- Whoever started the foreclosure — usually the lender or the county (for taxes).
- Defendant
- The owner or borrower being foreclosed on.
- REO
- Real-estate owned — a property the lender took back when nobody outbid it at auction.
- Redemption period
- Time after a sale when the former owner can still pay and keep the property.
- Tax sale certificate
- A lien bought at a tax sale; it can lead to a tax deed if the owner doesn't redeem.
- 70% rule
- Max bid = value × 70% − repairs − costs. A safety buffer for unknowns.
- Title search
- A check of public records for liens and ownership issues that could survive the sale.