phantom houses

2 Replies

i have a question regarding phantom houses. i have bought and sold a few phantom houses. most of the time, i find it easy to find the previous owners and make a deal. usually, this involves a trip to the city or county record of deeds office. lately, i have found a few of these houses, but doing my research, i have uncovered nothing regarding legal action by the banks that are foreclosing. i have one house i have had my eye on for over a year, yet the bank hasn't even started the first step in foreclosing. the people have moved out, but that was in 2009. the bank isn't even paying the back taxes. no foreclosure proceedings have started, no judgement of foreclosure, no release of lein, nothing. 

another house, the owner moved out about 4 years ago. i know the bank is having a company called " corilogic" pay the taxes, but there is nothing in the record regarding starting foreclosure, no foreclosure judgement, no release of lein, nothing. 

my question to anyone who may know. " what is going on here"? are banks just simply kicking people out and doing nothing with these places? i know they sometimes drop houses for financial reasons , but usually you see some sort of foreclosure started and then a release of lein so the bank has no liability on these houses, thus creating the " phantom houses". 

anyone have any idea what is going on here and how i might get the bank to deal with me on a house that they no longer want? any info would be greatly appreciated.   thank you

Sometimes they just fall through the cracks, the Servicer is overwhelmed with files, etc.  Sometimes they are low value properties that aren't high on their priority list. But, the bank didn't kick these people out, as they can't until and unless they take it back at foreclosure.  Some people just leave when they're behind, even if foreclosure hasn't started yet.

hi wayne. thanks for the reply. i kind of figured this might be the reason. i have called the bank and to no surprise, they will not tell you a thing. i believe that legally, they can't. i think all i can do is wait and watch. i may locate the owner and see if they will take little or nothing for their intrest in the place and hope the bank drops it. it will then put it back into MY hands. who knows how long that will take but we all waste a little money in our lives anyway, right?   thanks for the reply. keep in touch

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here