Buying apratment building at courthouse door.

[Jeremy Pollock]

I am looking to buy an apartment building at a courthouse door auction.  I have done some research on the apartments including talking to one of the tenants and I believe it will cash flow well.  My question is what steps do I need to take or what is the best way to get copies of the current lease agreements and how do I get the tenants to sign new leases? 

[Casey Mericle]

 You need to find out if the note being foreclosed is in first position. You also need to see if there any senior liens or judgments in front of it, and if those are wiped out my foreclosure.  If you don’t figure out how to buy foreclosure you can make really big mistake. That should be your first concern. 

As for leases, I wouldn’t worry that much about them. You’re going to have to make new leases anyway.