depending on the type of lien, but taxes for example are sr. to the tax lien.
Had a very interesting chat w/ an "oldtimer" IRS guy about guaranteed bids (when the the property was foreclosed subject to the IRSs redemption right).
The reason they need guaranteed bids, is that the pool for exercising redemption rights NATIONWIDE is about 8M so they have to know the money if coming back into the kitty.
most bid down to 0, so that next year they can pay and get 18%, and year after that 18% so the blended rate works out much higher, but often the loans get off and you get 0%, and in very rare instances if the taxes are not paid you can foreclose.
Do we have anyone from AR here on the forum. Correct me if so. If memory serves me right, AR starts their bidding on properties at Taxes OR appraised value, which ever is HIGHER.
Dirtman – keep your hopes up. You might just wind up with the property. You never know. I purchased a property, waited the redemption time frame, sent certified notices to owner and BANK telling them that they were going to loose the property and neither one responded to the notices. Now that all is said and done the Bank wants to buy property back from me. They are offering me 10 times what I gave for the property and almost FMV . So it does happen. The Bank just went to sleep.
depending on the type of lien, but taxes for example are sr. to the tax lien.
Had a very interesting chat w/ an "oldtimer" IRS guy about guaranteed bids (when the the property was foreclosed subject to the IRSs redemption right).
The reason they need guaranteed bids, is that the pool for exercising redemption rights NATIONWIDE is about 8M so they have to know the money if coming back into the kitty.
most bid down to 0, so that next year they can pay and get 18%, and year after that 18% so the blended rate works out much higher, but often the loans get off and you get 0%, and in very rare instances if the taxes are not paid you can foreclose.
Do we have anyone from AR here on the forum. Correct me if so. If memory serves me right, AR starts their bidding on properties at Taxes OR appraised value, which ever is HIGHER.
Anybody buy a tax deed prop where a title insurance company got involved?
Dirtman – keep your hopes up. You might just wind up with the property. You never know. I purchased a property, waited the redemption time frame, sent certified notices to owner and BANK telling them that they were going to loose the property and neither one responded to the notices. Now that all is said and done the Bank wants to buy property back from me. They are offering me 10 times what I gave for the property and almost FMV . So it does happen. The Bank just went to sleep.