Auction.com leins experience?

Question

I am preparing to attendmy first auction.com sale . for those of you who have bought from them ,

have you had any problem with liens unpaid? Is it necessary to do a title search for every house I bid on ?

Thanks very much !

Wayne Brooks · Answer

@Marci Stein Is this the actual foreclosure auction….or an REO auction? Auction.com does both and the potential risks are different.  Generally, the REO auctions are done with clear title delivered, along with title insurance. I have seen though  where a couple wer being sold subject to county code enforcement liens though. If it’s an REO auction, do Not use their title company, despite the supposed savings. They are sloppy, charge a bunch of extra fees and do a bare bones title search/commitment (which excludes unrecorded but active code enforcement/utlity liens).

Matt Stewart · Answer

It depends on the type of sale.  If it's a foreclosure sale then most liens are wiped out or paid by the proceeds of the sale.  I've purchased several properties through auction.com and never had a problem.  But it is a good idea to have your title company run a quick search for you to avoid any surprises.  And always buy an owner's policy.

Matt Stewart · Answer

Yes, that's been my experience in Ohio.  I'm not sure if different states and counties may do it differently, but any title company can run a title search and issue a policy.

Matt Stewart · Answer

Yes, usually the title company from auction.com will reach out and ask if you want to purchase a policy, or title insurance.

Marci Stein · Answer

Matt- by owners policy , do you mean title insurance?

Wayne- this will be a live auction held at the courthouse. Does that answer your question?

Thanks!

Michael Powell · Answer

This happens after having the winning bid?  Do you know if this is standard practice even with county site auctions?

Auction.com leins experience?

Most Popular Reply