Hey guys my name is Floyd. I'm new to bigger pockets. I have a question about a potential investment property. The property in question is currently vacant. The owners live in another city about 2 hours away. The taxes haven't been paid for 2014 and is currently incurring penalties. The tax collectors office says that the owners have been having trouble paying since 2012. After talking to the neighbors it appears no one has lived there for at least a year and a half. I was able to find the last known number for the owners.
My question is should I contact them directly before it goes to Auction? If so what should it be to purchase the property as much below market value as possible or should I just offer to Pay the taxes and draw up a contract with them? Or just wait for it to go to Auction
It was up for tax auction last year but the owners were able to repay before the redemption period ran out.
You could try all of them. Just not in the order you listed. I would contact them and see if they would be interested in selling it to you or if you paid the taxes getting the property under contract. If all else fails, wait until auction. Nothing ventured, nothing gained.
Note: If there is a mortgage on the property, the lien holder may pay the taxes before auction so I would wait until auction as a last resort. You didn't say whether or not there was a mortgage so I would find out if there is one.
If there is no mortgage or other significant lines then it would be worthwhile to offer the owner $500 or so for his time to sign a Quit Claim deed to you. If there is a mortgage or other lines try to buy it at auction so that these get wiped out if the property is not redeemed.
Thank you Tim & John. I guess my next step will be contacting the owner and finding out if there is a mortgage on the property. I will keep you all posted to what I find thanks again guys.
One last thing would you recommend giving them a call or sending a letter.
This post has been removed.
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing