There’s a house to be auctioned in June. The balance on the loan is about $195K, the purchase price was about 240K. It was purchased weeks before the crash. Present ARV is about $130-140K.
I want to be as certain as possible that this is the first loan and there is no other. I would have a title co do a search for liens or work with an investor and have her do the searches.
Is it better to use one over the other?

I have not been in the house. It has been vacant for a few months and is locked. It was rented for a couple of years, to at least two groups, one family, one a couple of men. The outside that I can see looks good.

Another question:
The same model was recently listed for $117,000 as an REO. I saw it and turned it down because of location. I, with untrained eye, saw about 25K in repairs to make it sellable. ARV on that REO should be about the same, $130-140K.
I just checked the mls. That property is still listed as active.
Is it safe to assume that even investors don’t see it as worth $117K, or that things are not moving well yet?

The only differences I can see are location and size.
The one I want has a better location and a 400‘sq ft addition, a family room.
The lot is a little larger. Taxes are higher.

What is the bank likely to do? The banks are different. Will this bank bid up to its loan amount and sell it as REO? Will it let it go at a much lower price?
From what I’m reading here, the top that I should pay is about $85000. Is the bank likely to let it go at that price? Is it likely that this bank will come down to the asking price of it’s twin--$117K?

Would you let it go REO and purchase then, rather than trying to get it at auction?
MRead