All Forum Posts by: Account Closed

Just in general, what do any of you experienced flippers consider a "good" profit to make a deal worthwhile? I'm analyzing a deal right now on a REO but the bank has come back to all offers (5 of them) asking for our best and final offer. I've figured out all my costs and have predicted there to be a $15,000 profit when all's said and done. Just trying to determine how much, if any, I should go up on my offer, but that would then cut down on my proft.

I'm not sure what the difference is between a warranty deed and a quitclaim deed.

Yes it is a REO auction. Document says the deed or other conveyance document to be delivered at closing shall be a quitclaim or other instrument conveying Seller's interest in the property. It also says that the deed or other instruments assigning Seller's interest in the property shall contain no express or implied warranty or representation of title, or specifically disclaim any such representation or warranty. Another box on the page states that property is being transferred to buyer by quitclaim deed without any warranty or representation regarding title except for the limited warranty set forth in section 12 which shall only apply if buyer obtains a title insurance commitment and policy at buyer's sole cost and expense.

I'm looking at bidding on a house on Auction.com tomorrow. In researching the title I'm finding the following:

7/11/05 - Mortgage - $39,000 by M&I Bank FSB

7/11/05 - Mortgage - $159,000 / Satisfied on 1/12/10 by new mortgage

12/10/09 - Mortgage - $157,720 by M&I Bank FSB

9/7/11 - Assignment of Mortgage of $157,720 from M&I Bank FSB to Bank of America

6/8/12 - Lis Pendens for foreclosure action referencing the 12/9/09 mortgage by Bank of America

There were several other mortgages but I found a matching Satisfaction of Mortgage for each of those. I find no satisfaction on the 7/11/05 mortgage. Since the foreclosure is referencing the '09 mortgage and nothing on the '05 mortgage am I to assume that the '05 mortgage is still out there against the property and whoever ends up being the high bidder on this house will have to pay that mortgage of $39,000 or whatever the balance is? I'm not sure if they would have combined the two in this action or not since they were from the same bank originally. The amount shown on the foreclosure notice as an unpaid balance was $183,394 and amount of winning bid from the bank at the sheriff's auction was $106,860. I want to be sure of exactly what I'm getting into before bidding on this. Any thoughts?

So if I register to bid giving my credit card information and end up not bidding for some reason, will I get charged? I understand if I'm winning bidder and don't follow through, I will lose the deposit, but what if I just don't end up bidding?

Has anyone used Auction.com to purchase bank owned property? I just discovered this site but am leery about using it without knowing someone who has used it.

Well I went to the sheriff's auction on this house yesterday but did not end up getting the house. I wasn't the only one thinking this house was a good deal. There were several others bidding with a total of 63 bids on this house. Took 15 minutes just to get through the bidding process. Other homes were done in a few minutes. It ended up going for $114,600. I had decided ahead of time that I wouldn't go more than $100,000 but it was still a good deal at $114,600. On to the next one.

That answers my questions, thanks for all your information. This is a great place to get information.

This is where I want to be sure I understand correctly. The first mortgage was originally recorded in 2002 with the second in 2003 and all other judgements in 2006, 07 & 08. This foreclosure was started in 2011 the last time. There were a few before that from this same bank but they had been dismissed at the time. I understand property taxes and utility bills survive but am I understanding this correctly that because all these other liens came after the 1st mortgage they are the junior liens? Or does it have to do with when the foreclosure was started?

I have not bought at sheriff's sales before so it's a little scary. I went to one the other day just to observe but not a single person bid on anything so everything went back to the banks. I was told that after the sheriff's sale there would be a confirmation of the sale that takes about a month and then I needed to come up with the money within 10 days of the confirmation of the sale, which isn't a problem. I did a lot of researching the title on my own and the bank foreclosing is the 1st mortgage holder with everything else being a second or other judgements but I was told by a title company that those would be wiped out in the sale as long as everyone was properly notified and named as defendents in the foreclosure. I double checked that and they are. No one is living there but it is locked up. The first time I went there though the back door was open so I just walked in and looked around but rushed through it as I wasn't sure I should have just walked in. The only real issues I found out about through that and from talking to a neighbor was that part of the back basement wall had collapsed at one time but that was repaired and that there is a radon gadget installed. I don't know if either one of those issues will be a problem when trying to resell this home.