Min Bids Greater Than Mortgage???
I stopped by the recorder's office today and looked up a couple of properties that had just had NODs filed. I got the list from a local newspaper. What I found for some properties was very confusing. The minimum bid price that was listed in the legal notice was greater than the initial mortgage. For example, one property had a $183k minimum bid. In the computer, the mortgage was made back in Feb '03 for $172k. Any idea what's happening here? There were two other properties that also had min bids greater than the initial mortgage value. Are there some fees that the banks are throwing in there?
Thanks!
Yes. Banks are allowed by law to recover any amounts that they spent in order to resolve this delinquency. There are attorney fees, BPO (Broker Price Opinions) in lieu of appraisals, inspections, maybe even expenses to secure the property and prevent vandalism if vacant, etc. This is allowed by law.
I can understand them being able to add some fees on there but $10-15K! Doesn't that seem excessive? What kinds of fees has everyone else run into?
Thanks![ Edited by MarcN on Date 08/28/2003 ]
It's hard to comment on this specific situation without knowing what other liens were present on the property and had to be satisfied by the lender. If you look into that, you will get your answer and it may make perfect sense to you.
An examination of the above subject and comments leads one to the conclusion that the correct approach is to run on the filing of a NOD. At that time the many and devious costs have not occured. If you can perfect ownership, refinance or utilize a second Trust Deed to obtain funds to cure the foreclosure you are in possession and off and running. Now thats where you should be.
Lucius
Hello!
Sorry for my newbie question, but here it goes:
How do you search for any additional liens?
Thx!
Joli
Hi Joli,
You can find out if their are liens on a property by doing a title search at your local title co. save a couple bucks by going down to the recorder's office in your local government buildings. they will be very helpful, and it won't cost you a thing.
Quote:
On 2003-08-28 20:57, Lufos wrote:
An examination of the above subject and comments leads one to the conclusion that the correct approach is to run on the filing of a NOD. At that time the many and devious costs have not occured. If you can perfect ownership, refinance or utilize a second Trust Deed to obtain funds to cure the foreclosure you are in possession and off and running. Now thats where you should be.
Lucius <IMG SRC="images/forum/smilies/icon_cool.gif"> <IMG SRC="images/forum/smilies/icon_cool.gif"> <IMG SRC="images/forum/smilies/icon_cool.gif">
If you don't mind me asking. Where would you say is the best place or places to find NOD's?
If I'm not mistaking first is the NOD, then Lis Pending then power to foreclose the auction date and so on. At the recorders office I went to yesterday I saw all these besides the NOD. Where is the info?
Also when you see power of foreclose at the recorders office has the lender called the loan due already? Any ideas any one?
thank you so much
There are so many junk fees involved with defualted notes. NO two banks will do the same exact thing. Besides the attorneys fees and other recovery costs, it depends on what your state allows. This is why you need the advice of a really good realestate attorney/foreclosure attorney, who know the law in your area and what they can charge. Some mortgages are written in such a way, that they will balloon beyond belief when reinstatements or pay offs are ordered. [ Edited by godaddyo on Date 08/29/2003 ]
Thanks for your help all!