What are my loan options for auction properties?
Hi all! I purchased a property from a tax auction in 2020 for 35k, did most of the renovation myself for 70k, and now have a house worth about 175k, rented for the last 7 months. to a good tenant. I want to do it again! With that first house, I paid cash for everything by selling other assets. How should I use the house to buy another property at tax auction for a rent & hold?
The problems:
1. In my state, tax foreclosure listings are announced 30 days before the auction.
2. Then after the sale, you have 30 days to close.
3. There's no guarantee that you'll win anything or that there will be good deals.
A lender I spoke to for a Cash out Refinance said that it could take 3+ months to close a loan, too long a timeline for an auction.
What do you suggest I do?