All Forum Posts by: Sheika Nikole Reid

@Jay Hinrichs This is an Alex Cooper auction, I am not sure what category that goes into. I don't believe that it is either of the ones you mentioned above. Here is the site so you can get a feel for it. http://realestate.alexcooper.com/upcoming/foreclos...

I planned to either flip it or use an HML, but you are saying that, that option is hopeless? What are my other options in this case?

@Jay Hinrichs I apologize if my language is confusing, this process is teaching me so much! I think I am using the proper lingo here, so let me know what parts I'm missing so I can be as accurate as possible. I won the property at auction. At the time of the auction I put a 10K downpayment on it, and was given a 30 day window to pay the rest of my winning bid. According to the Title company, there is an outstanding lien from the Condo Association which was covered within the amount that I won it for, but this tax lien is not. So now the underwriters are checking before they can provide title insurance. Am I providing enough detail? 

@Curt Davis I used a cashier's check for the downpayment, using financing for the rest of the process. The lien is for substantially more than the property is worth. I am intending to keep it short term via hard money, then refinance to a regular 30 year loan in order to use the condo as equity for future flips. 

@Jay Hinrichs So when you have cleared title and had IRS liens come-up you don't have to pay them at that time? You're suggesting I wait 120 days because there is a possibility that they come to collect within that window of time?

Hey BP family. Hope you all are doing well. 

So I am a novice in DC working my way through my first property condo at auction. I am here today for a little bit of advice. 

When I won a condo at auction about of the other people there ran up to me and said "You know that you are responsible for the title now. So any liens or debts are yours now." Naturally, I panicked. This was a great deal, at least I thought it was. I ran the comps on it, and even drove over to the property to see it before the auction. Multiple people told me that if I purchased at auction that liens and debts were cleared before it was available, so the FIRST and I do mean FIRST thing I did was to jump on the phone with the Title Company my family has used over the years. I am finding out now that there is an outstanding IRS tax lien and that I am in a vulnerable position until the underwrighters decide whether the title can be insure or not. The great part about this story is that I purchased this property for less than half of its ARV, so there is a lot of equity left in it. Can any members of the BP community give me some advice on navigating this scenario, and how to run title before I go to auction for next time?

Thanks @Alison Decastro I'm excited about this. 

@Shanequa J. Really good idea. Are you working solo or with a team?

Thanks @Alison Decastro I'm excited about this. 

@Russell Brazil I bought it at auction for $81K, its worth about 260-290K. I have 30 days to close and to answer your question I did post it twice because I was unsure if it went through the first time because I was posting through the app.