Auction of 56 foreclosed homes falls through

PROVO — An auction of 56 foreclosed properties — most of them in Utah County — has fallen through after the sellers decided they might get a better price in the federal bailout.

Eric Nelson, founder of Eric Nelson Auctioneering, says buyers' bids totaling about $7.5 million were rejected because of indecision among nervous lenders, the pending bailout and last week's stock market plunge.

The properties are owned by three banks and two private lenders.

The auction included an unfinished $1.2 million home in Draper and a 62-acre parcel in Park City valued at $3.5 million. The Draper home drew a $615,000 bid. The Park City parcel drew a $1.1 million offer.