Experience Purchasing from Select Portfolio Services?

Question

Hi, there is a long time abandoned house I am interested in purchasing. The title to the house appears with the town tax office to still be in the original homeowners' names, but the taxes are being paid by Select Portfolio Servicing. The home is an eyesore in a nice neighborhood and would make a great flip. Select has been paying the taxes for almost 20 years so I understand the town can't do anything to force a sale of the home. I've tried calling SPS to speak to them about purchasing the home but I can't get through to an actual person to speak to. Does anyone have any suggestions about how to get in touch with a person at SPS? Also, does anyone know what the legal status of this house might be (title still in the homeowners' names but the taxes being paid by SPS)? Thank you!

Wayne Brooks · Answer

@Brittany Lischinsky SPS doesn’t own the house, so they can’t sell it…..you’d have to find the owner of record.

Chris Seveney · Answer

@Brittany Lischinsky

As mentioned they are the servicer of the loan. Eventually the home will be foreclosed upon and sold at foreclosure auction. You would need to find the owner of the home and buy it from them, but it could be the mortgage is greater than the value or there are additional liens which is why it’s best for it to go through foreclosure

Marty Boardman · Answer

SPS is paying the taxes because they don't want the county to foreclose on the property. If this happens the mortgage SPS has recorded gets wiped out. So they "protect" their interest by keeping taxes current.

As several have pointed out here, only the homeowner can sell you the property. If you do make contact with them (and you can make a deal) these back taxes would have to be paid to SPS, in addition to all past due payments, penalties and interest. If the owner is really behind 20 years then it's likely they're underwater on the mortgage too. You're better off focusing your time on properties/deals that have real equity (and an owner that's easier to find).

Good luck!

Basit Siddiqi · Answer

Select Portfolio Servicing is a loan servicer.It might be that the current owner is paying the loan servicer the mortgage payment which includes escrow that is used to pay the property taxes.

Experience Purchasing from Select Portfolio Services?

Experience Purchasing from Select Portfolio Services?

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