Auction is in 30 days; too late for Subject To transaction?

3 Replies

I only just discovered Subject To transactions on one of the podcasts the other day and it seems like a great way to amass a few properties in my area to manage as rentals. There is a multi-fam that I've been watching that was in pre-foreclosure and has just entered foreclosure this week; it seems like a good prospect for this type of transaction.

It is headed to auction at the end of the month, and this may not be enough time to pull the deal together, but I wonder: if the seller and I agree to the deal and I get him caught up on his mortgage payments, is it easy to get the property unlisted from auction, or would this happen automatically?

Thanks in advance!

Hi Martin,

I also listened to the subject to podcast and found it very informative! I recently asked a realtor about proceeding after a house goes into foreclosure and it sounds like once the redemption period ends and the foreclosure proceeding start, the seller/owner (or former owner) no longer has a say and the bank has all rights to the property. Not sure about your state though. hope this helps.

Thanks, Hildah. That's really helpful.

Hi again, Hildah.

Out of curiosity, I posted a question to Karen Rittenhouse in the show notes for podcast #2 and she replied. This might be of interest to you.

http://www.biggerpockets.com/renewsblog/2013/01/24/subject-to-direct-mail-woman-investing-podcast/#comment-165606

Either the realtor you spoke to was misinformed, or maybe the rules vary from state to state, like you said. I'm going to call a local attorney and try to find out.

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