How to know the Max Bids before the foreclosure auction

Question

Hey guys,
 
I was wondering if anyone knows how I would be able to get the max bid amounts for properties going to foreclosure auction before the auction sale date? As of now, I find out by going to the auction everyday and It's a war having to go through due diligence of 100 properties just to buy 1. Knowing the max bid up front would save so much time!
 
Any advice would be greatly appreciated. Thank you everybody.

:D

Sam M. · Answer

If you are new to buying at trustee sales I recommend studying a bit and learning how to conduct due diligence with regard to lien position, IRS liens, property taxes, title issues etc. You can get yourself into trouble real quick if you see an opening bid of 80k on a 250k property but fail to realize it is a second position lien and there is a 200k first position lien in place.

Sam M. · Answer

I assume you mean the opening bid? If the foreclosure attorney has a website it will be posted there. If not you usually have to call the attorney's office and ask them if they have an opening bid.

Steve Babiak · Answer

Here's a couple of links for learning about buying foreclosures:
          
          http://www.biggerpockets.com/forums/41/topics/32392-buying-at-foreclosure-is-easy-
          
          http://www.biggerpockets.com/forums/41/topics/43830-tutorial-for-buying-at-foreclosure-auctions
          
edit: almost forgot this good one:
http://www.biggerpockets.com/forums/41/topics/47830-bought-my-first-foreclosure-yesterday-despite-bp-advice-c-

Jimmy,
          
          I don't know where you're coming from with that last post, but to me Sam has given the OP good instructions.

Steve Babiak · Answer

"Maximum bid" is based on the value of the property, from comps or however you choose to derive that value.  Obviously, you will need to deduct for repair estimates and "safety margins" plus other expenses you will encounter.

"Minimum bid" = "opening bid" or "Starting bid".  Sam gave a good reply - make phone calls before the sale.  Sometimes, you can also arrive at the sale early and ask the attorneys or trustees what the opening bids will be on properties that you find attractive.

Rich Weese · Answer

Tony- I'm in ft myers and attempting to buy at auction. 2 months ago, Lee county went online. Some of the properties show the max bid, but most don't. You just click onkine for the date you want. Many lenders don't list max at all, and some list it JUST before their property comes up for bid. It has been real nice since  going online. Good luck Tony. Rich

Steve Babiak · Answer

It appears that what they call in FL "max bid", in PA they call "upset price".  In either case, it's what you must bid to in order to out-bid the bank's bid.

The terminology seems to vary as much as the state rules for these foreclosure sales.

Michael Brian david · Answer

alot of great info here! i think many things have changed since going online!

Peter Stanley · Answer

any luck with this? I am running into the same issue.

Sam M. · Answer

So in your area a "max bid" is the lender's "max bid"....Makes sense.
           Here the opening bid is the lender's max bid. They do not start any lower.

Steve- I was going to dig those up but was too lazy :)

Tony Nguyen · Answer

Hi everyone - I wanted to give you a quick follow up about what I did.

I called 5 law offices in the morning and asked them about 5 different properties that were going to auction at the end of this week. They all gave me practically the same answer - "the bank is our client and the max bid is confidential." With that being said, I could not get the info I was looking for (the max bids). Any thoughts? Otherwise - gotta keep digging!

How to know the Max Bids before the foreclosure auction

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