All Forum Posts by: Account Closed

Now that would be awesome.  Yes?

@Tony Kogan

To maximize your return?  Buy a foreclosure on the court step.  Buy some tools if needed.  Fix it and sell it just below market value.  Should be within 6 months.  

I would spend the next 6 months doing the exact same thing.  Shoot for at least a 60% return.

@Patrick Connell

That would be very helpful.  Thanks.

@Patrick Connell

I have a question for you on this topic. I remember asking where this FHA history is stored. How exactly would a bank even know about the old FHA appraisal, given a new FHA buyer, getting a new FHA appraisal. Is it a rule that is impractical to enforce?

@April Sago

In my area tax sales are notorious for having title issues.  I was talking with a county attorney a couple of weeks ago and he said something like 1 in 3 have an issue.  The reason being the county has too much work to prepare for the sale, so they hire law students to help with all the work load.  Probably the biggest mistake is interested parties, such as mortgagees and lien holders not notified.  In such cases the liens have not been wiped out because due process was not followed.  I would expect uncertain outcomes from said mistakes.  

That being said, you can get great deals on them and many do.  At least from what I have been told in upstate NY and Pa.  

I am not sure of your situation but in some jurisdictions there are 2 types of sales. 

Judicial sales where mortgages and judgment creditor liens are wiped out.  

Upset sales where none of the liens, except the tax lien, are wiped out.  

I would make sure you understand that part of it before bidding.  Two very different things.  Good luck

@Patrick Connell

It use to be 6 months.   That change to 4 several years ago.  

Unless you can convert the buyers to some other loan type the FHA appraisal will follow you from one bank to the next. I have been told this but but never tried to have the buyer try a different bank. I think it sticks for 4 months.

@Kris Haskins

That flat out stinks.   I have been in your shoes before.   More than one.   I always ate it but 40k is too much.   All of my work in trying to get things turn around a on a light appraisal has fail.  I am sure you have been told how an fha has a shelf life    Let us know how that turns out. 

@Sandy Reddy

Your are correct in your concerns.  The sheriff probably wont tell you much, but the liens will be removed during the foreclosure sale, however the IRS does have the said right.

NJ is a judicial state and the following comes from the IRS website.

In accordance with Title 28 U.S.C. § 2410(c), the Internal Revenue Service has the right to redeem real property which is sold in a judicial sale where the United States position is junior to the foreclosure party.

@Account Closed

I agree.  IMO while environmental issues are no joke, we don't want to let those fears get in the way of using our common sense. 

I don't know if you are aware of this but when it comes to environmental issues, a plaintiff can pull in anyone on the chain of title.  That means even if you just owned the property for a couple of years and had no knowledge of an issue and did not create such a hazard, you could still get dragged into court.  From what I have read, not only can you get dragged into court but be held partially responsible.  

I would like to hear input from some of our more venerable members on that.