Vacant Home Owned By VA - What To Do?
I saw a home today that is vacant, with some junk laying on the floors (I looked in the window).
I looked up the address in the auditor's office and it is owned by "SEC of VA". Apparently the prior owners transferred to the VA on January 12, 2004.
I'm going to research this situation on my own, but please provide input on what is going on, and what steps I should take to buy this property. I have no experience with VA owned properties.
Thank you for any help!
This response is based on post redemption period..
Depends on what area of the country you are in.
In my area (Colorado) the VA has transferred property management functions to OCWEN Federal Bank out of Florida. OCWEN lists these properties after the redemption period expires with local brokers and the property ends up on your local MLS.
Before OCWEN came into the picture you had to go to a local broker, who has access to the VA website in your area. At that website the broker can download the necessary files required for making an offer to the VA. You had no choice but to utilize a broker.
I have found many good deals at the VA before OCWEN but now not sure what will happen....
I found out that the Secretary of the VA bought the home at foreclosure for $95,000.
The home was bought by the prior owner in 1996 for $101,000 and tax appraisal is for $120. There are probably $5,000 of renovations needed. therefore I'm guessing there is maybe $20k profit in it if I can buy at $95k.
Should I write to the VA and make an offer to buy? If so, would they accept their $95,000 purchase price or even less?
I'm not sure how the VA works here, please give any advice you may have.
rek769,
Thank you, I looked up Ocwen and they do have VA properties listed for sale in my area. This particular one is not listed, but this is good to know (maybe the redemption period is not up yet).
Can I do anything to buy it for a low price before it is listed?
GoldenBear:
If you have found that the home is already titled to the VA then the redemption is already past. The property was successfully foreclosed and the VA is now the legal owner. Based on my experience with the VA/OCWEN I'd say you are out of luck if you want to buy it before they process it. As with any government agency, they have a set procedure to follow in order to dispose of the property. Trying to get them to deviate from that procedure is likely to be impossible.
Do you have any experince in obtaining these properties prior to the redemption period expiring?
Rob (rek769)
Thank you for your reply, I appreciate it. It was very helpful to tell me about Ocwen, I may have never found them were it not for your help.
I don't have any experience in obtaining them before the redemption period, though I know I could buy at the auction or before it gets to that point. I'm not totally sure what you are asking, please elaborate.
The funny thing is that Ocwen has not listed this property yet. I'd like to know how you can tell when it will be listed and how a realtor can get the listing. It would be beneficial if I could get a RE agent that I know to be the listing agent, so I could have the first crack at it.
Thanks once again, and if there is any more information you have on this I would love to hear it.
If I can help you in any way let me know.
GoldenBear:
As an agent myself I do know that your agent will have to register w/ OCWEN in order to be eligible to recieve listings from them. There is still no garantee that once registered your agent will be selected to list that particular property. It seems that they randomly assign listings to the various agents registered with them.
When I asked if you had experience in obtaining these properties prior to foreclosure I was basically hoping that you might have some experience to share about how to work with the owner to profit from the house before the foreclosure occurs - pre-redemtion....
Thanks
Rob