Property sitting on market for over 400 days with title lien

Rental Property Investor · Astoria, NY · Member since 2019 · 31 posts · 14 votes

There is a property in my market that has been chilling on Zillow and other sites for 400 days. Whether or not this is 100% accurate, it seems like nobody wants to touch this property. It is a foreclosure being sold “subject to a first lien mortgage on the title. Buyer to be responsible for clearing any and all title issues.”

The house is listed WELL under comps in the area. As in several hundred thousand under. So my question is, why is nobody touching this place? Are there title issues that are bad enough that they would drive even investors away?

Your input is valued!

0 Reply

14 views

Most Popular Reply

Wayne Brooks

Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes

It was a second mtg or junior lien that foreclosed...hence the “buyer is responsible for the 1st mtg” since it is still in place. This not some “title issue” that needs to be resolved, it is a mortgage that needs to be paid.

Of course, they should list it at market price with the Seller paying off the first......assuming the house is worth more than the mtg amount.

Find out how much the mtg is.....I’m guessing it won’t make sense at their asking price since it hasn’t sold. Just talk to the listing agent.

1 Reply

See this reply in the discussion

5 Replies

Jump to latestLatest

Sort by

Kenneth Mooney
Rental Property Investor · Augusta, GA · Member since 2016 · 348 posts · 171 votes
7y
@Travis Ward-Osborne sounds like you’d have to pay off the first mortgage balance. I’d contact a local attorney (possibly offer a partnership to them). I’ve got a close friend who is partnered with an attorney and they get great deals on tax lien properties quite often.
1 Reply
Wayne Brooks
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
7y
It was a second mtg or junior lien that foreclosed...hence the “buyer is responsible for the 1st mtg” since it is still in place. This not some “title issue” that needs to be resolved, it is a mortgage that needs to be paid.
Of course, they should list it at market price with the Seller paying off the first......assuming the house is worth more than the mtg amount.
Find out how much the mtg is.....I’m guessing it won’t make sense at their asking price since it hasn’t sold. Just talk to the listing agent.
1 Reply
Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
7y
Originally posted by @Kenneth Mooney:
@Travis Ward-Osborne sounds like you’d have to pay off the first mortgage balance. I’d contact a local attorney (possibly offer a partnership to them). I’ve got a close friend who is partnered with an attorney and they get great deals on tax lien properties quite often.
this could have some issues with the bar.. most attornies are not allowed to partner with clients at least that's what my attorney told me

Podcast Guest on Show #222
JLH Capital Partners51 Review
Website View Page
0 Reply
Kenneth Mooney
Rental Property Investor · Augusta, GA · Member since 2016 · 348 posts · 171 votes
7y
@Jay Hinrichs he doesn’t represent himself in any transactions. They’re all cash deals (never financing) and in GA attorney represents buyer in cash deals.
0 Reply
Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
7y
Originally posted by @Kenneth Mooney:
@Jay Hinrichs he doesn’t represent himself in any transactions. They’re all cash deals (never financing) and in GA attorney represents buyer in cash deals.
it get the closing attorney process but attornies at least from my knowledge are not suppose to JV with their clients. At least in Oregon that's the case.. they have to be fee based not partners..

Podcast Guest on Show #222
JLH Capital Partners51 Review
Website View Page
1 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.