Sheriff Sale Auction - 1st or 2nd mortgage?

Question

I am looking at a property going to Milwaukee sheriff sale in a few weeks.  How do you tell if the mortgage is the 1st or 2nd mortgage if the bank holds both?

Mike Landry · Answer

In texas, which is a deed off trust state, you can read the deed of trusts and they usually will specify which one is subordinate if they have the same date. It could also specify in the warranty deed. But you have to read all that find print.

Wayne Brooks · Answer

The "first glance" indicator would the default/judgment amount, verses the original Mtg amounts.  The sure way is the to read the court file/lp, which will show a recording instrument/book-page number.

Ralph R. · Answer

I have been to several auctions in the past have and have purchased  one but nothing recently.

The same bank holds  both the second  and first mortgage so i didn't see anything  in the notice  that would  indicate  which mortgage  was foreclosing. The owner told me they  think it's the 2nd mortgage  foreclosing but did really now for sure.  I am waiting to see the  paperwork.

Ron S. · Answer

If you are asking that question Ralph...you might want to go to a few sales and read a few more blogs before jumping into the deep end of the pool.

That said, good question. you don't know unless you get a prelim. With the prelim, you compare it to the default language in the sale notice and find out when the foreclosing entity recorded their DOT. Anything behind it is junior. Anything in front of it is senior.

Sheriff Sale Auction - 1st or 2nd mortgage?

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