I came across a property in an area that I have been monitoring for about 2 years now. Decent initial price, however, as the title above denotes, it is a BANKRUPTCY AUCTION!
I have never dealt with a bankruptcy auction before, and to date, I have one, 3 unit investment property.
Here's what I know...
1. Viewing of the property is permitted on TWO SPECIFIC DAYS ONLY. I have scheduled a General Contractor to walk the property on one of days. On those days, water and electric will not be on. Both the access to the property AND the lack of electric and water may present an issue if conventional financing was an option, specifically, appraisal and inspection.
2. Sale of the property is not contingent on financing. Therefore, if my bid is accepted, I have 45 days to come up with the money.
Since this is my first experience with something like this...
A. What questions should I be asking?
B. Since this property is advertised as at a certain purchase price, during the auction, can a bid come in LOWER? Or will the auction start off at the purchase price and no lower?
C. Do I risk acquriring the property with an acceptable bid, THEN going through the conventional loan process once I have access to the property? Lending more time for an inspection and appraisal?
D. Do I go with Hard Money, and Buy, Rehab, Rent and Refinance?
THANK YOU FOR YOUR HELP BP!!!!
what do you know about BANKRUPTCY?
do you know whether there's a difference between Bankruptcy auctions and say foreclosure auction? if so what?
the answers are crucial to how you move on this or nah. my coin.