Buying a foreclosure you know something about

[SatinSilver]

Originally Posted By: JHZR2
If it goes for sale, is it a Sheriff's sale or does the bank itself auction it?


The Sheriff's sale is an auction. Many times the lender will purchase it to protect their financial interest. Since they already have a lien they don't have to pay out that sum of money. Go to your local Sheriff's website to find out about the status on the property.

Also enter the guy's name on the website for the county clerk of court. Click on docket for all the legal details of the case.

Sounds like the property already went through the Sheriff's sale. Either the bank bought it to retain ownership or a new investor purchased it. If the bank bought it they will hire a realtor to list it. The longer it stays on the market the quicker they will start cutting the price. Lowball the bank and see what happens. I wouldn't ask your acquaintance anymore questions about the property since they want to be done with it.

Here is a link to my local sheriff with frequently asked questions although your area may differ:

http://www.loraincountysheriff.com/FAQCategory.aspx?id=11

and the civil court info that I mentioned earlier looks like this:

http://cp.onlinedockets.com/loraincp/case_dockets/search.aspx

There could be a few mortgage holders or liens on the property. Either title companies or attorneys can do a title search and offer title insurance which protects the owner in case they missed something. Since he's being evicted the property is either bank owned or a private investor bought it.

 

[Wolf359]

Originally Posted By: Win
Given the plethora of issues you've outlined, personally, I wouldn't fool with it. If you don't already own a property, and have to have an off site car shop, look for an old gas station that has had the tanks pulled, or buy a lot and put a steel building on it. That's my two cents, FWIW.


I wouldn't buy an old gas station. One of the problems with pollution is that the current owner is responsible for any cleanup so if there was some old contamination on the land, you just bought yourself a piece of land that could be a superfund site. Besides, old gas stations probably have better commercial uses as they were usually located in busier areas.

 

[raytseng]

Agree that you should just reach out to a local real estate agent or broker for advice who understands the customs and procedures of your county.

Usually just the initial 10minutes of talking will be free; and then you can discuss commission for the real deal.

 

[Dave Hess]

Wolf,

I agree, it could end up being a 'super fund' site and lots of pollution.


JHZR2,

How much are you willing to pay for property if it went to auction ?

 

[Win]

Originally Posted By: Wolf359
Originally Posted By: Win
Given the plethora of issues you've outlined, personally, I wouldn't fool with it. If you don't already own a property, and have to have an off site car shop, look for an old gas station that has had the tanks pulled, or buy a lot and put a steel building on it. That's my two cents, FWIW.


I wouldn't buy an old gas station. One of the problems with pollution is that the current owner is responsible for any cleanup so if there was some old contamination on the land, you just bought yourself a piece of land that could be a superfund site. Besides, old gas stations probably have better commercial uses as they were usually located in busier areas.


Nonsense.

I've owned, and still own gas stations, and I've taken them out of service. In every state I've closed one, any environmental issues are addressed at the time the tanks and lines are pulled, reports are sent to the controlling state agency, and they sign off on it. It's good to go at that point. That's why I said "tanks pulled".

You're right that they certainly have better commercial uses. When you're done using it for a hobby, you own a nice piece of commercial property, not an umarketable bunch of structures in back of someone's residential property.

That's why I suggested one.

 

[Andrew1972]

18 years ago I went by a "tanks pulled" property as an engineering inspector with a pipe crew. The trench reeked of gasoline and the laborer said I won't smoke down there. They moved fast and had it buttoned up in a jiffy.

 

[JHZR2]

Interestingly, an odd sign went up on the property with no POC or anything. I figured out the likely actuoneer, based upon some other info I got from the owner, and their properties all sport the following language:

Bid Now! This property is currently available for pre-auction bidding. The seller will entertain offers submitted before the end of the pre-auction period ahead of the auction event. Beat the competition by submitting your highest and best offer today!

So it appears that one can make offers ahead of time. And Id bet that means on properties before they show up...

 

[hattaresguy]

Go onto the state of NJ's website that lists foreclosures.

Typically they take a long time, if he is still living their he is in whats known as pre foreclosure, ie the are foreclosing on him, in process. The lender does not have possession yet.

This process can take years, sometimes 5-8 so you will just have to sit and watch until the house is either brought to auction or the market.


Having said that if you can find what he owes on it, and its a fair price to pay you might be able to buy it for the mortgage amount. Chances are Wells Fargo does not own the note they are just servicing it, but you can get a payoff.

The problem with this method is typically they owe far more than what the property is worth.

You can also try a short sale, but YMMV on those. If its a normal bank that owns the note you might get lucky. If its some investment fund in China yeah good luck with that.

The problem with residential mortgages is they are sold a million times, so the house may be "owned" by some massive investment fund in India that doesn't have the slightest clue what individual notes are doing in its portfolio of $15B. If you get super, super lucky and its owned by one of those rare small local banks you can probably negotiate something with them.