Pre-foreclosure / foreclosure deal

[William B.]

Anyone want to hit any high points on what I might be missing or offer any pointers about purchasing a pre-foreclosure? I am under contract to purchase a 3/2 SFR built in 2005, the owner does not occupy the property, it is in Oregon. Court docs indicate the case is closed, so legally speaking the foreclosure has been legally processed but not actioned any further at this time. I have not yet acquired a property that is subject to foreclosure, this will be the first.

Steps taken so far:

-Personally researched all data publically available about the property and owner

-Preliminary title research from title company received

-spoke with lender w/owner telephonically to confirm resolution is possible with payoff

-in process of submitting the deal to title company to run full title report

-multiple meetings with the owner, a great rapport developed

Planned Actions:

- will submit to real estate attorney for counsel and review of the deal documentation 

Thanks for any feedback. Have a great life of prosperity!

[Brett Goldsmith]

If the home is a standard sale in foreclosure it's the same as any other transaction except you may be on a tight time frame to perform due to foreclosure proceedings.

If it's a short sale it's a different beast, but sounds like this transaction isn't.

Important points would be if you are trying to do subject-to, dealing with elderly, etc in a foreclosure, then sensitivity would be amplified due to their foreclosure status. ( need to be extra careful with disclosures, etc, when dealing with people who could say you took advantage of them. )