Question about foreclosure.

2 Replies

First time homebuyer here. Kind of specific situation that I need advice on.

Saw a house that we loved and were in talks of making an offer. However, using propertyshark, we found out that the house is in foreclosure and has an auction date set within a month. This was not mentioned at all to us by either our broker or the seller's broker (they work for the same real estate agency).

Without giving specifics, we were told that they don't want to go too much lower than the listing price and that they've refused offers that were relatively mildly below the listing price. That seems hard for me to believe when the house will go to auction in a few weeks. The first lien is also much below the listing price. 

We are very interested in the house but find it extremely strange that the foreclosure was not mentioned at all by either broker especially when there seems to be a relatively near time limit for a contract.

Would appreciate any insight.

As long as they close prior to the foreclosure auction, or get it postponed, it is irrelevant to the deal. As a listing agent I wouldn’t be mentioning it either.....for the very reasoned, you think they should take a lower offer.