Losing Your Down Payment
Here's the big question.
After you put down your 10% down payment on the property at a foreclosure sale, you are required to close within 30 days.
If you just purchased a vacant property, then how can you or the appraiser gain access? In a situation where the appraiser needs to go inside to evaulate your property, you can't let him in because you don't have the keys. Then, what can you do?
In this dilemma, do you break into this house which you just 'won' but is still not officially yours?
How will this effect your loan? Will you automatically be denied the loan if the appraiser can't get the perform the inspection?
seekingwriter ..do I understand you bought this home on the "court's steps" ? The "process" was explained to me as this: (1) I look at the property (2) get my "finance" in place (3) bid .. now of course this is simplified..but it is my understanding that my money should be in place before I bid. So maybe you can put some light on how this transaction was done..I'm willing to try a new approach . Thanks
If you buy this thru a legal type sale you have the right to have the lock drilled and examine the property. This does not mean you can back out of the sale, but here in Ohio you have a right to inspect, and make sure the property is properly winterized.
Use a locksmith and act as if you do it all the time. If you act guilty, you will raise suspicion. I do this all the time and have never had a problem.
[addsig]
>In this dilemma, do you break into this house which you just 'won' but is still not officially yours?
It may be possible to have the commissioner (you're talking about a Judicial FCL right?) open it up for the appraiser. Of course the commissioner may charge a per/hour fee to do so. If you are in contact with the former owner, you MAY be able to get a set of keys from them (tho' not likely). The door lock MAY be already broken or open (have you checked this out yet?).
Oh, BTW, if already put the 10% down and won at the auction, you still may be outbid at the confirmation hearing. If you are still the winning bid at the confirmation hearing and you can't line up financing for the deal and are about to lose your deposit, hire a lawyer and appeal to the judge. Ask for forgiveness and apologise profusely and ask that they return your deposit because the mortgage company didn't come through due to the locked door leading to appraisal problems which led to rejection by the mort. co. Show proof of this to the judge. The judge may let you off with a "don't do it again" type warning.
The sheriff will NOT open the property for you, nor will any officer of the court. As I said before, here in Ohio you have the right to gain entry to make sure the property is properly winterized.
Drill the lock, replace it, and inspect it with the appraiser. You are doing nothing illegal in doing so.
Bluecat, in the Ohio Sheriff Sale process, once you bid and put your 10% down you have purchased the property. There is no going back, and if you fail to perform and pay the balance due you WILL be found in contempt, lose your deposit and may be fined as well. Additionally, you cannot be outbid at the confirmation hearing, otherwise, what is the point of the sheriff sale?
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Hope this Helps!
Bill
[ Edited by telemon on Date 01/07/2004 ][ Edited by telemon on Date 01/07/2004 ]
Right, once you bid, there is no 'confirmation bid' to go through. If you can't close, you lose your down payment.
I have never seen any lock on the door where I can just unscrew it off. If that was the case, criminals would be able to breakdown with ease.
Just hire a locksmith, unless it is a war zone property and it is all boarded up. I take a screwdriver and take down boards to get into most of my purchases. Different bidding system here in Texas. You bid you win and pay and that is it unless a tax sale
Good LUCK and Thank You
Hope this helps some
Ted Jr[ Edited by Tedjr on Date 01/07/2004 ]