Rule 2.23.2, Private Selling Officer’s (PSO) Sale of Real Estate

A. MOTION FOR PSO

A. MOTION FOR PSO:

As an alternative to a Sheriff’s Sale of Real Estate, a party seeking a judicial sale of real property or the party’s counsel may file a motion requesting that a Private Selling Officer be authorized to sell the property at a public auction. Such motion shall state:
1. the name and address of the proposed PSO;
2. that the proposed PSO is an Ohio resident; and
3. that the proposed PSO is licensed as both an auctioneer and as a real estate broker or real estate salesperson under Ohio law.
Only if the Court grants the motion may the subject property be sold by a PSO.
If the motion is granted, the judgment creditor may choose to have the property sold by either a PSO or the County Sheriff.
If the motion is denied, the property must be sold at Sheriff’s sale and the procedures outlined in Rule 2.23.1 apply.

B. COMPLIANCE WITH RULE 2.23

C. WRIT FOR APPRAISAL

C. WRIT FOR APPRAISAL:

If the Court authorizes a PSO sale and the judgment creditor chooses such a sale, the judgment creditor must file with the Clerk of Court a writ requesting the issuance of an order of appraisal to the County Sheriff and an order of sale to the Private Selling Officer.
Once an order of sale by the PSO is issued and an appraisal is returned, the PSO shall immediately advertise and sell the real property.

D. FORM OF SALE

D. FORM OF SALE:

An authorized PSO may conduct a public auction of the real property either online or at any physical location within this County.
If the auction occurs online, bidding must be open for at least 7 days.
If the auction occurs at a physical location, the PSO must establish and maintain a facsimile number or e-mail address for judgment creditors and lienholders to submit remote bids.
- Each remote bid shall be of a fixed maximum amount and shall be delivered to the PSO on or before 4:30 P.M. on the business day preceding the date of the sale.
- Remote bidders will be notified of the results of the sale by no later than the close of business on the day of the sale.
- If the PSO fails to place a remote bid on behalf of a judgment creditor or lienholder to the prejudice of the judgment creditor or lienholder, the judgment creditor or lienholder must file a motion to vacate the sale within 10 business days after the sale date, and the sale shall be vacated.

E. NOTICE OF SALE

E. NOTICE OF SALE:

F. REQUIRED FILING

F. REQUIRED FILING:

Not less than 14 days prior to the scheduled sale date, the party requesting the sale or the party’s counsel shall file with the Clerk a Certificate of Service of Notice of Sale Date specifying the date and manner of service of the notice required in Subsection (C) of this Rule, the names and addresses of all record owner(s) and interested parties or counsel of record for the record owner(s), and interested parties who were sent the notice.
Failure to timely file the certificate of service required by this Subsection shall constitute grounds for denial of the confirmation of sale.

G. POSTPONEMENT OR CANCELLATION OF SALE

G. POSTPONEMENT OR CANCELLATION OF SALE:

In every action in any division of the Common Pleas Court of Montgomery County, Ohio, wherein a judicial sale of real estate by a PSO has been authorized, the judgment creditor may instruct the PSO to postpone or cancel the sale.
If the sale was to be held at a physical location:
- any postponement must be announced by the PSO at the place and time set for the sale, and must include the date, time and place of the rescheduled sale; or
- any cancellation must be announced by the PSO at the place and time set for the sale.
If the sale was to be held online:
- any postponement must be announced by the PSO on the auction website and must include the date of the rescheduled sale; or
- any cancellation must be announced by the PSO on the auction website and must remain posted until the end of the 7-day bidding period.
After a postponement, any rescheduled sale date(s) must be within 180 days of the initial sale date.
If a sale is postponed or canceled, all prior bids are void.
If a judicial sale of real estate by a PSO is to be canceled due to a filed bankruptcy petition or for any other reason, the party canceling the sale or the party’s counsel shall file a copy of the filed bankruptcy petition or an entry canceling the sale pursuant to Mont. Co. C.P.R. 1.15(F)(2)(b) and 2.05(B)(1)(a)(iii).

H. TITLE INSURANCE

H. TITLE INSURANCE:

The authorized PSO may hire a title insurance agent licensed under Ohio law or a title insurance company authorized to do business in Ohio to perform title, escrow and closing services related to the sale.
Reasonable fees charged by the title agent or company shall be taxed as costs.
Fees up to $500 are presumed to be reasonable.
Fees in excess of $500 will be paid only if authorized by Court order.

I. COSTS AND REPORT

I. COSTS AND REPORT:

If a sale is conducted by an authorized PSO, all of the following must be taxed as costs:
- the cost of the appraisal;
- the cost of the advertisement; and
- the fee charged and all costs incurred by the PSO (excluding the appraisal and advertisement costs) up to 1.5 percent of the sale price of the real property.
Any amount exceeding 1.5 percent of the sale price must be paid by the judgment creditor or from the judgment creditor’s portion of the sale proceeds, and cannot be taxed as costs.
After the sale, the PSO must file with the Court an itemized report of all appraisal, publication, marketing and other expenses of the sale and all fees charged by the PSO for marketing and/or conducting the sale, including fees charged by the title agent or title insurance company.

J. TERMS OF SALE

J. TERMS OF SALE:

Residential Property:
- Unless the successful bidder is the first lien holder, the successful bidder(s) as to a judicial sale of residential property shall make a deposit in the following amount immediately following the sale:

$2,000, if the property’s appraised value is less than or equal to $10,000;
$5,000, if the property’s appraised value is greater than $10,000 but less than or equal to $200,000; or
$10,000, if the property’s appraised value is greater than $200,000.
- The unpaid balance of the purchase price shall be paid to the Montgomery County Sheriff by certified or cashier’s check within 30 days of the filing date of the confirmation of sale and distribution entry.
- These terms of sale shall be included by the PSO in the advertisement of the sale.
- The successful bidder’s failure to comply with these terms shall invalidate the sale and may result in a finding of contempt and forfeiture of the deposit paid.

Commercial Property:
- Unless the successful bidder is the first lien holder, the successful bidder(s) as to a judicial sale of commercial property shall deposit 10% of the purchase price immediately following the sale.
- The unpaid balance of the purchase price shall be paid to the Montgomery County Sheriff by certified or cashier’s check within 30 days of the filing date of the confirmation of sale and distribution entry.
- The successful bidder’s failure to comply with these terms shall invalidate the sale.

K. PROCEDURE

K. PROCEDURE:

Prior to the sale, the Sheriff, deputy or party conducting the sale shall announce that successful bidder(s) shall have 30 days from the date of sale to obtain an examination of title to said real estate.
Should examination disclose the title to be unmarketable by reason of any defect in the proceedings or the existence of any interest not disclosed in either of the certifications described in Subsection (A) or (B) of this Rule, no liability shall be predicated on the certifications. The successful bidder(s) may, within the 30-day period, notify the Court of the defect and move the Court to set aside the sale.
If the Court finds title to be unmarketable, the Court shall refuse to confirm the sale. The Court may fix a reasonable time, not to exceed 90 days, within which any defect may be cured.
Waiver: The successful bidder(s) may waive any part or all of the 30-day period by signing the Confirmation Entry, but no Confirmation Entry not approved by the successful bidder(s) shall be filed until the 30-day period has expired.

L. APPRAISERS’ FEES

L. APPRAISERS’ FEES:

Non-Commercial Real Estate/Single Unit Property: Pursuant to R. C. §§ 2335.01, 2335.02, and 311.19, the appraisers’ fee for the judicial sale of non-commercial real estate and single unit property shall be $60.00 per appraiser (Appendix K).
Commercial Real Estate/Multiple Unit Property: Appraisers’ fees for commercial real estate or multiple unit property shall be $40.00 per hour for every hour actually spent in research to establish a value for the subject property.
- Research to establish a property value shall not include payment for previous research on previously evaluated property.
- Each fee request pursuant to this Subsection shall include a certification with an accounting of all time expended in determining property value (Appendix L).
- The plaintiff or plaintiff’s attorney shall be notified in advance by the appraiser of any request for hourly fees.
- The maximum fee that may be paid without Court approval is $300.00. Any hourly fee request exceeding $300.00 shall be submitted to the Court for approval.

M. ADDITIONAL DUTIES AND AUTHORITY OF PSO:

Rule 2.23.2, Private Selling Officer’s (PSO) Sale of Real Estate

Court Hours

Contact Information