Questions regarding County Sheriff Auctions

[Luka Jozic]

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

[Chris Seveney]

@Luka Jozic

Off market provides better deals than auctions IMHO.

Being a lender and having to foreclose on properties I have no issues taking it back to sell on the retail market. Most banks for accounting purposes will take asset back as well.

[Chad U.]

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

Run title to make sure there you know which lien you are bidding.  Also check involuntary lien searches such as code enforcement, utilities, etc. 

I see that you're in Cleveland. Recently we had a loan there on a property which was vacant that accumulated 32K in water bills, likely due to a leak.  The city would not do anything to abate it.  

[Wayne Brooks]

@Luka Jozic The ones you see in mls are REO auctions, banks selling properties After they went to the foreclosure auction.

[Simon Ashbaugh]

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

 Ive had a few clients look into this deal sourcing route. They always end up coming back for off market stuff. Not saying auctions arent a good route, thats just the trend ive seen. 

[Shane Kelly]

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

 I'm quite a big fan of auctions but you summed it up well with saying "It seems like its a bit risky but also potential for great reward." I have been lucky enough with my clients to dodge bullets sometimes, but doing your due diligence is a huge part of it. Know what you're getting into and have boots on the ground.

[Luka Jozic]

Quote from @Chad U.:

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

Run title to make sure there you know which lien you are bidding.  Also check involuntary lien searches such as code enforcement, utilities, etc. 

I see that you're in Cleveland. Recently we had a loan there on a property which was vacant that accumulated 32K in water bills, likely due to a leak.  The city would not do anything to abate it.  

 I've read about that. So the first question is how do I do a title search in the most efficient and cost effective way? Also, could you elaborate on the stuff about lean searches?

Regarding that leak, since you were not the owner of the property when that water bill accumulated, why would you have to pay for it?

[Chad U.]

Quote from @Luka Jozic:

Quote from @Chad U.:

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

Run title to make sure there you know which lien you are bidding.  Also check involuntary lien searches such as code enforcement, utilities, etc. 

I see that you're in Cleveland. Recently we had a loan there on a property which was vacant that accumulated 32K in water bills, likely due to a leak.  The city would not do anything to abate it.  

 I've read about that. So the first question is how do I do a title search in the most efficient and cost effective way? Also, could you elaborate on the stuff about lean searches?

Regarding that leak, since you were not the owner of the property when that water bill accumulated, why would you have to pay for it?

 There are thousands of posts on here about doing title searches for foreclosures. As for liens they are in the same bracket.  I'd suggest doing some more research on here.

As for that water bill, no we did not have to pay it. However it rendered our loan worthless since there was no equity and had to write it off.

[Bob Stevens]

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

 You are working way to hard. You cannot buy at auction as you are not there. Whos going to view the property for you ?  I have purchased about 150 from various auctions there. All you need to do is is connect with those doing deals, allow them to handle all. Paying up or down 5 10k is irrelevant in the long run and much less stress. 

All the best 

[Jay Hinrichs]

in Cleveland proper  that county only requires a deposit of 5 to 10k to bid.. once judge confirms sale then the balance is due.. if you dont close U lose the deposit.. And get on the bad bidder list.

[Luka Jozic]

Quote from @Bob Stevens:

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

 You are working way to hard. You cannot buy at auction as you are not there. Whos going to view the property for you ?  I have purchased about 150 from various auctions there. All you need to do is is connect with those doing deals, allow them to handle all. Paying up or down 5 10k is irrelevant in the long run and much less stress. 

All the best 

 I have some boots on the ground that could help. When you say pay 5-10K for someone to handle all, what is all?

[Bob Stevens]

Quote from @Luka Jozic:

Quote from @Bob Stevens:

Quote from @Luka Jozic:

I am looking into ways to find better deals to BRRRR and have been looking into auctions. It seems like its a bit risky but also potential for great reward. I understand that I have to pay cash and can't run an inspection. It seems like the best I can do is go to the property and look at the outside and potentially peek through windows. Now of course there could be tons of hidden issues but I feel like if you can get the property at a deep enough discount, you should be covered for the most part. Now some of the questions I have are:
- Other than going to the property and peeking, is there any other way I can get a sense of its condition or hidden issues?

- What are some other things to watch out for that I maybe haven't thought of?

- I see there are some Auctions posted on the MLS that usually include pictures, whats the difference between those and the ones on the County Sheriffs website?
-What other due diligence should be done before joining an auction for a particular property? I mean other than the usual due dilligence?

- Lastly, o you guys think off market or auctions can provide better deals?

 You are working way to hard. You cannot buy at auction as you are not there. Whos going to view the property for you ?  I have purchased about 150 from various auctions there. All you need to do is is connect with those doing deals, allow them to handle all. Paying up or down 5 10k is irrelevant in the long run and much less stress. 

All the best 

 I have some boots on the ground that could help. When you say pay 5-10K for someone to handle all, what is all?

 Your boots better know what they are doing. I live on the beach in FL, I never go to the property, I fly in 2, 3 times a year, I know I can pay a little less if I was there, but who cares. Its about quality of life, I'm sitting on the beach, earning 15% ++++ So up or down 5- 10k on the property is irrelevant. Everything is handled for me . Its ALL about your team and network

Good luck