All Forum Posts by: Steve E.

Hello all,

I was watching this home in August during OO period since it was in my neighborhood and when I checked end of September, it was under contract. Hud initially had it listed for $255k and when it went under contract it was listed for $230k. From the bid results they have accepted $198K. The PCR stated $8500 worth of foundation repairs, $1600 worth of HVAC copper lines replacement due to vandalism, $3500 worth of replace damaged and missing electrical lines throughout, little roof work in the one hundreds, replace and repair $1000 worth of siding and replace and repair front and rear doors for $500.

This house has a pool and in the photos, it was covered and probably needs to be closed and I am guessing another $5000.

The house went under contract on September 22nd and on the door I found a note from the city saying the water has been turned on September 23rd. So probably they found other issues and it fell through. Also peeking through the windows, the hardwood floors were beat up and needs replacement.

I am interested in the property but would like to do my due diligence before I submit my offer. I will probably visit the property this afternoon. Any suggestions please?

Thanks

Frank Romine, thanks for sharing your experience but if I were you, I know we will be anxious to evict the tenant but I would have approached it like Jack Bobeck and defintely imagined how would it be from the tenants perspective and have first explored their situation before.

Any way this evening I visited the property and rang the bell. I saw a 7 year old through the windows but nobody opened the front door except their dog started barking. Waited for like 10 minutes and left.

All,

What are the drawbacks of the quit claim deed and if I have verified the liens from the county records, what else should I be checking?
Thanks

Jack Bobeck, thanks for the info, will keep posted of my decision.

Thanks Eddie P. for confirming :)

Unbelievable, I just checked the property and four of the properties in the area just got bid $10,000 more and have the auction extended by 2 more days. All of them, am I being paranoid to think auction.com themselves raised the bid to cause a sense of demand. The reason is all the four properties had been sitting at the same price since last Saturday and within matter of 30 minutes, all of them have a new bid and extended. Hmmmm

Jack Bobeck,

Good luck on you close. The property I am watching is offering quit claim deed not warranty deed. If they had offered warranty deed it would have been better. Good for you and here is an article about the difference which I stole from an article here. http://www.bankrate.com/brm/news/mortgages/20040826a1.asp

Wayne Brooks, thanks for the encouragement and will do tomorrow.

Rob K and Eddie P., thanks for your comments. I am thinking exactly the same thing, this property is in a prime neighborhood. If they listed, it will be gone in matter of days. There has to be a reason and I am glad I posted here. I will decide by tomorrow.

Wayne Brooks, this property had been foreclosed couple of years back.

Aaron Churnick, thanks for the idea but I really don't want to miss on this. Let us see if anybody else have any other ideas.

Jack Bobeck, thanks for the prompt reply and appreciate it. Good luck with your close tomorrow.

Aaron Churnick, thanks for the detailed explanation and really appreciate it. I never knew about the law so thanks for pointing that out. I never realized banks can rent out the property. I thought the original owner is still living in the house. I do not mind holding the property if it generates rent for a year or so. My only concern is the condition of the property.

On the website it says do not disturb the occupants and also auction.com made me accept the agreement not to disturb the tenants. The auction is ending on Friday, so should I take a chance and knock on the door?

Frank Romine, thanks for the reply and the unknowns is what bothers me. Should I take a chance and go 'disturb' the tenants. I do not want to lie to them who I am if they are my potential tenants if I have to hold for a while.

On the page it says "IT IS A CRIMINAL OFFENSE TO TRESPASS ON THIS PROPERTY"

What should I do?

Hello all,
I am watching this property and the status is occupied, the listing says do not disturb the tenant. Also no title insurance is offered at closing. It is a reo but then I did a title search by the last owner and it came out clear. The house had been foreclosed in 2009 and I drove by it and verified people are still living in it. After foreclosure how come the bank did not evict for such a long time. The comps shows this property at around $320K and the bidding started at $99K and currently at $154K. The reserve has not been reached. I have couple of buyers in mind I can wholesale this.
What do you all think? I am pretty new to auctions and foreclosures. I am worried about the condition of the property and what will it take to evict the current occupants? With these unknowns how much max should I bid?
Thanks