if I buy a second what are the steps to taking over the house?
Pay up the first or off the first .
Then eviction?
There has to be more than this
I appreciate your help...
To buy the second mortgage via an assignment would place you into the second mortgagee's shoes. Presumably the second is in default? You, as junior mortgagee, would either initiate a foreclosure or continue with the foreclosure... forcing the property to be exposed to public sale..
Let me start over to clairify things.
The first and second are NTS. Going to auction soon their is equity in the house to cover the first and second. I would like to buy the second at the auction. If I buy the second at the auction, do I pay off the first then evict or what?
The property is in california
Thank you for your help.
Actually at the auction you will be buying the property with a first mortgage against it unless the 1st has also posted. If you buy the 1st then the second lien holder would be wiped out. IIf you buy the property at the auction you will have to deal with the 1st lien holder. They will likely call the note due and you will need to pay it off eventually. You should contact them and find out what can be done. They may let you reinstate and assume the loan. Really is their call. I am assuming it is a loan thru a bank or mortgage company and not a private lender. Be carefull and make sure you have the funds available to pay off the 1st. They may post for foreclosure and wipe you out too and 30 rolls by fast if you haven't the money to cure the default
Good LUCK and Thank You
Hope this helps some
Ted Jr
In what circumstances would one want to buy the 2nd?
Is it just a means of getting to the property sooner instead of waiting for the first to foreclose?
Both are in foreclosure. In my area not alot of interest in seconds. The second is for $66k they start off the bidding at $100, so anything less than $10 is great. The first is for $120. The house is worth $200k+ (old notes).
1. I could bid up the first at the auction up to my $66?
2. I could pay off the first?
Then I would evict the people?
Is that how it would work?
Thanks
Opps I missed some k's the first is for $120k. They start the bidding for the second is at $100 I would like to pay less than $10k. If the first sells at auction for $150k than I would collect $30k is that correct?
The process is state specific.
To buy the second mortgage via an assignment would place you into the second mortgagee's shoes. Presumably the second is in default? You, as junior mortgagee, would either initiate a foreclosure or continue with the foreclosure... forcing the property to be exposed to public sale..
Let me start over to clairify things.
The first and second are NTS. Going to auction soon their is equity in the house to cover the first and second. I would like to buy the second at the auction. If I buy the second at the auction, do I pay off the first then evict or what?
The property is in california
Thank you for your help.
Actually at the auction you will be buying the property with a first mortgage against it unless the 1st has also posted. If you buy the 1st then the second lien holder would be wiped out. IIf you buy the property at the auction you will have to deal with the 1st lien holder. They will likely call the note due and you will need to pay it off eventually. You should contact them and find out what can be done. They may let you reinstate and assume the loan. Really is their call. I am assuming it is a loan thru a bank or mortgage company and not a private lender. Be carefull and make sure you have the funds available to pay off the 1st. They may post for foreclosure and wipe you out too and 30 rolls by fast if you haven't the money to cure the default
Good LUCK and Thank You
Hope this helps some
Ted Jr
In what circumstances would one want to buy the 2nd?
Is it just a means of getting to the property sooner instead of waiting for the first to foreclose?
Both are in foreclosure. In my area not alot of interest in seconds. The second is for $66k they start off the bidding at $100, so anything less than $10 is great. The first is for $120. The house is worth $200k+ (old notes).
1. I could bid up the first at the auction up to my $66?
2. I could pay off the first?
Then I would evict the people?
Is that how it would work?
Thanks
Opps I missed some k's the first is for $120k. They start the bidding for the second is at $100 I would like to pay less than $10k. If the first sells at auction for $150k than I would collect $30k is that correct?