Properties with Opening Bids by Banks

[Martin Z.]

Do properties with set opening bids by the banks, have a much larger chance of it going to trustee auction at the specified date?

[Bill Gulley]

All opening bids are based on what amounts are owing, expenses and market conditions. Interest is on a non-accrual status as of a certain date. As time goes on additional costs may be incurred which can be added to the opening bid amount along with fees to the Trustee. If a lender later sees that a borrower is "barking at them" over excess equity, the may make an attempt to raise the entry bid so that it is appropriate to make a good faith effort tor collect some equity for that owner. OTH, they could lower the bid thinking it won't sell and they'd rather eat the loss then as opposed to later. State law dictates what charges and expenses can be added to the balance owing, usually it's the unpaid balance, interest to notice, holding costs such as insurance and taxes, trustee fees and cost of the sale. :)