First Time ???s In The Foreclosure Arena
I am looking to purchase a property to live in whether thru foreclosure or traditional purchase. I found a house with owners in preforeclosure and the house going to auction at the end of May.
The bank wants $272,000.
Mkt Val is about $500,000.
I can do the following:
Assume their mortgage somehow. (I am qulaified for $300k)
Pay them $$60-70k cash.
Your thoughts on if doable?
Is this deal based on you short saleing this house or what? Thats a nice spread.
My advice is to do whatever you have to do to get this deal as long as you know what to do with it. Even though you have been approved for $300,000, I would get new financing and put down a minimal down payment, that way you are not dumping all your money into one deal. If you can assume it with no money out of pocket, then do it. Are the sellers in arears? You could take over their payments subject to. There is lots you can do with it. Don't let this deal get away. tip: banks do not like to foreclose on expensive homes. What are the R.E taxes per year? Best of luck!
Actually I am looking to LIVE in this property. I don't care about selling it again.
Are the sellers in arears? I don't know yet. I do know that the foreclosure proceedings were initiated at the end of 2001. Yes 2001. In 2002 and 2003 the Writ was stayed for the costs involved. The county records show "costs" now of about $2,000.
As far as "subject to" I need to learn more about that before I can answer.
The taxes about $7,000 per year and there is NO current lien for taxes.
My interest is soley in purchasing the property, allowing the owners to walk away with some cash to start over, I move into a really nice house that I got on sale.