So the tax sale in my county is coming up in about a month. They do this sale through an online auction style. I haven't really gone through the process before, and I'm looking to get my first investing property. Is there anything to look for for tax sales? What should I be aware of? Here is the link to the properties being offered. http://www.clark.wa.gov/treasurer/Foreclosures/For...
The bidding can be learned through the ********** site. Read everything you can find about WA tax sales. The website you linked to said that prior liens like mortgages are wiped out but prior lien holders may not recognize that and you may have to defend against them.
It sounds like in other tax deed state you need to do a quiet title action after purchase to give you clear title.
I would suggest:
1) Reading the guidelines on bid4 assets to see if there are any buyer premiums or minimum down payment requirements.
2) Driving by the properties you are interested in to see the current condition of the property and the neighborhood.
3) Check zillow, trulia, or equivalent for comps to make sure you are not over bidding.
4) Check redemption periods and research any liens/encumbrances so you can estimate the total cost of investment.
Good luck with your bidding.
I would recommend that once you choose which property or 's you'll want to bid on have your title company run a preliminary lien and title search. If you were to foreclose on the property owners eventually, any liens on the property may survive the foreclosure and become your responsibility. (For example unpaid garbage, contractor, HVAC,etc...) Since the majority of these properties are most likely occupied you wont be able to see them from the inside and see their condition. Market value on websites like zillow and trulia are not always accurate and can be WAY to high at times, that I've noticed. I would suggest always discussing with your agent if you have one, as they are more aware of differences in market value based on the condition and location. Some websites I'd recommend are hudhomestore.com homesearch.com and auction.com. If you have any questions feel free to shoot me an message through BP or call anytime.
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