I am a new investor and I came across a foreclosure property and I was doing research on it. I found that the property was foreclosed on in 4/2014 and in 12/2014 the trust that owned the land did a Quit Claim deed over to another trust. I have never come across this before and I was wondering does the quit claim deed have any effect on the foreclosure? I wouldn't think it would since the quit claim was done after the foreclosure had taken place. I would appreciate any insight you could give. Thanks
The QCD has no effect on the foreclosure. When it was foreclosed on in 4/2014 fee simple title was passed to either the beneficiary of the foreclosed mortgage, it's nominee or to a party that purchased it at the foreclosure auction. At that point, the trust has no interest to convey so the deed in 12/2014 is meaningless.
My current philosophy is to NEVER try to buy (or wholesale/assign) a property where the Seller is only offering a QCD. Why would I? Why should anybody? Why shouldn't EVERY Seller be asked to provide a Warranty Deed? For example, I could offer to sell you a Property by QCD that I don't even have ANY ownership of! What do you think that the actual Owner will think when they find out - and they aren't even selling that property?! Cheers...
well, neither post here above I believe is relevant. The QCD you're looking at is likely title going from the trustee who foreclosed, to the actual note owner/investor, so yes it is valid and relevant. It's typical, I see this with properties here going to Fannie that way, after a foreclosure.
If your still wondering about quit claim deeds, check out this short video http://youtu.be/tp05noS10_w it might help answer some of your questions.
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