Question from a Newbie

[Chris S.]

So, i went to an open house that both my fiance and i are interested in. The broker told us that she purchased the house at an auction and she is re-selling it. I guess it was a foreclosure (ughh.. wish i knew about the auction). She gave us an addendum to the listing that says the transaction will not qualify for FHA and VA financing. It says that the seller will not have held title to the property for ninety days prior to closing and will not meet seasoning requirements. IT also says that she needs a simultaneous closing, in which she buys the property and sells it to us.

Can someone please explain all of this to me? IS there anything at all fishy about this? Also, is there any where for me to find out how much she paid for it at auction. Like i said, i wish i had known about the auction. Do real estate agents have better notice than someone like me as to upcoming auctions?

Thanks!

[Justin S.]

Chris-

Auctions are public knowledge so anyone can look them up and attend. You can find the notice of trustee's sale at the recorders website (usually) or go down to the court houses and look them up. There are a lot of services that will provide a list as well.

If you are doing a double close, the sale price is probably not public record yet because they have not closed. They probably control the property but do not officially own it. But like Justin said above, as long as you get the house at the price you want, then what the wholesaler makes should be of no concern.