All Forum Posts by: Ron S.

It's very common although, as a bank, i'd switch them into my name if they were disconnected for non payment in order to ensure the pipes don't freeze and blow a line out.

Quite common. Also, a contract doesn't cancel the auction. A fully executed purchase and sale agreement outside of 37 days before the sale will for sure put the sale on hold but anything short of that, is up to the lender.

If there's an auction date coming up, chances are its a shortsale AND a foreclosure.

What tells you they are "More affordable"? Foreclosure has nothing to do with value or affordability. Multi Family property in California IS typically (relatively) expensive. If you are going to try to buy a property in foreclosure ask yourself why the borrower isn't paying the lender the payments to keep it out of foreclosure? Maybe it doesn't cash flow?  Maybe the deferred maintenance is too much? Maybe there is litigation on the property? Tax default?

A million reasons could exist for why a property is in foreclosure and just because its in foreclosure, doesn't mean it's a better deal. Often, quite the contrary. "Default Amount" on the notice of default isn't what your gonna buy it for.

Actually it didn't. There were numerous allegations it did but, once everyone learned who/what MERS is and was, the lawsuits challenging MERS went to NIL.

Keeping your hair versus losing your hair?

The low hanging fruit is gone. Properties flagged with foreclosure issues now are not the deals of yesteryear and the benefit of trying to purchase these are not nearly as good as they were. Values have come up in most MSA locations so, the bid amounts at sale are going to be much higher than they were. Back in the day (Not long ago) we lenders used to open our bids at foreclosure auction day just a bit lower than the fair market value, to entice 3rd party bidders. We thought anything over our bid was better than taking it back, rehabbing and then selling it because we thought prices might continue to go down. Now, we open our bid either at totla debt or very very close to fair market value because time is on our side. Values will go up over the passage time.

So...to your question, big differences between the two scenarios however, not so much of a big incentive any longer to buy foreclosures versus open market transactions on MLS.

It's not quite that simple to wipe out a 1st mortgage in Nevada. the HOA has to follow the same process EVERY lienholder has to follow. For the foreclosure to be valid, notice must be provided to all interested parties (This includes all of the lenders that could be wiped out). Only an idiot (US Bank was an idiot) would not pay the paltry nine months of HOA dues to protect their lien. The HOA is limited to nine months of dues.

Scrivener's error Wayne! Not Scribners! Knowing you...i'd wager you did that intentionally!

 LOL...sorry. Again, wasn't trying to be rude. I apologize if I came off that way.

...and, they would being doing a credit bid. If no 3rd party bidders, that bid would show the property reverting back to the beneficiary. Now there COULD be a junior lien holder bidding. That would be very common but, it still wouldn't show as an REO fore the foreclosing entity.

Yes. That simple.