Deal Before Sheriff Sale?
I am looking to purchase a four properties that are in foreclosure. I want to reach some sort of agreement to purchase the properties as soon as the foreclosure is complete?
These properties are owned by a single investor under two notes.
My IDea:
Have the minimum bid at the sheriffs sale really high so the investor ends back with the properties. I will have an agreement to purchase said properties as soon as the sale is over. This would ensure I get them, and the investor makes his money back without having to hold onto the properties?
ANy ideas?
Who set the bid minimum price?
This work?
Thanks for all of the help.
apex_predetor, I am not sure what you are trying to do is feasible, although I am not sure I understand your idea or your terminology.
The properties are owned by someone in default (foreclosure.) You say "sheriffs sale"... this is a judicial foreclosure?... so this process appears to be different from trustee states. As a disinterested party, I doubt that you can influence the lender in setting the sale price. Also, what do you mean by "Have the minimum bid at the sheriffs sale really high so the investor ends back with the properties." The lender will end up with the property if there are no bidders. And then you want to buy from the lender (aka. REO) at a set discount?
I guess my strategy is the opposite from yours. I look for low bid opening prices (substantially below FMV) and then purchase at the courthouse auction. If anything, I would try to influence the opening bid to be low so I pay less.