OfflineWe went to the auction this morning and as we expected there were TWO other bidders there. I was scared to death we would loose our dream home.
The auctioneer started by offering the property for sale for 81,000 (?) plus one dollar to buy it outright. What was this?
Then, I found it the time to make the comment "81K for a house with mold, I don't think so. Imediatley, the other bidders asked if I had been in the home and I told them that I had been and also know the owners and the home has a "major" mold issue (ok, so I exaggerated a little). The other bidders were then chatting while the auctioneer announced that he would start the bidding at $54,000 and is there any bidders. NO ONE BID - they scattered like bugs !
The auctioneer announced the property would be turned back to the lender. WOO HOO.
Now, we are 75% there...now, we try to get the lender to work with us. We would prefer to deal with the REO department direct BEFORE they hire a realtor to multiple list it. We are going to offer $30,000 in CASH, cover all settlement fees, and realtor expenses (I have a realtor and settlement girl ready and waiting).
EXPERIENCED FOLKS: How does this sound to you?
What was the deal with the $81,000 plus a dollar thing?
Do you think the lender will work with us directly because the realtor that does foreclosures here is a real booger and will hold for eternity to get the commission up.
PLEASE GIVE ME YOUR INPUT.........AGAIN
Thanks
~~~~~~ Praying for our dream house ~~~~~~
$81000 mortgage balance? + $1 = bank debt exceeded, the bid goes up from there. The county record can show you the mortgage balance, which can be openning bid.
Good luck pursuing this REO. It sounds like this may work out for you. Make sure to inform the REO department about all the mold and any other issues with the home. A bank's motivation can change on a daily basis. Good luck with this potenital deal. Believe and Achieve!
- Joe
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I could not understand that either:
The auctioneer walked up to all three of the bidders and showed us a paper with an amount $81,653.87 then he said....if you pay $1 over this price the auction is cancelled.
Of course no one did it.
Then he said:
Let's begin the bidding, the starting bid is $53,000 - do I have any bids
What is this about?
I don't understand?
I thought the $53,000 was what the bank was owed?
Do you know?
~~~~~~ Praying for our dream house ~~~~~~
Do you know if there's any other possible liens against the property?
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
....and why is it our dream home.....
We live in a small rural community. Very limited choices here and even less foreclosures. There are two homes in foreclosure currently (one is burned down). We own a small 800 sq ft home and this beautiful home is 1700sq ft and has EVERYTHING we love. If someone asked what we NEED in a home (not what luxury items we WANT)it would be everything that this home offers. Stupid things like cabinet space, closets, storage-storage-storage, garage, quiet street and most important IN OUR PRICE RANGE.
Our hearts are in this home and I have invested so much time into research with Dean and many other sources that I DON'T WANT TO FAIL.
~~~~~~ Praying for our dream house ~~~~~~
YES. Not now.
The homeowner originally had THREE mortgages
1- about 60K
1- about 37K
1- about 25K
That is why we could not do the short sale because the leins would NOT clear out and WE would be liable.
We were told we had to wait for the auction process and IF the other two lenders did not show up....they were void.
They did not show so, now it is only countrywide.
The auctioneer also said: Sold back to __________ and it was some name that was not Countrywide. I have to check into that too.
~~~~~~ Praying for our dream house ~~~~~~
ok so they probably were trying to recover whatever amt for the other two Lien Holders had agree on as well, so that's probably why auctioneer showed you all bidding price that he did. Lenders try to recover as much of defaulted mortgage amount as they possibly can.
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
May I ask you why you didn't bid on it at 53,000.00? you might have gotton it at that price and not have to worry about waiting for the REO to come around. If this was your dream house I dont understand? Is it better to wait it out to see if you might get a lower price? or will the bank say no to your offer and list it with this realtor that you are not to fond of and raise the price. Let us know how this plays out......Diane Brian
In our particular situation, we only have $30,000 CASH plus an additional $5,000 CASH for fees, settlement, taxes, etc.
IF I had the $53,000 in hand, I would have bid because it is definatley worth every penny but, in our case we could not go that high. We have a home with about $20,000 equity now but, have been advised NOT to drain all our equity out of our home to buy another and then have two mortgages to pay.
My heart is so far in this which is a bad thing. I even considered IF an realtor bid and bought it for $53,000 (as a rental property) to offer them my house in trade which is worth about $70,000 and take a loss on this one to get the house. LOL.
~~~~~~ Praying for our dream house ~~~~~~
We are going to our first house Auction on Sunday. the min. bid is 25,000.00 the house is a four bedroom 2 bath in pretty good shape. We of course don't have any money at this time to bid so we will just be watching and hopefully meeting new people that want to invest in real estate that we can add to our buyers list......Diane Brian
I am happy that those others did not steal your dream home. You derserve this and I think it will work out for you. Now contact the lender and get that house! Keep us posted, you are 1 step closer.
Jeremy
This train, Dreams will not be thwarted
This train, Faith will be rewarded
Big wheel roll through fields where sunlight streams
Meet me in the Land Of Hope And Dreams
Bruce Springsteen
Sounds like your on the way, keep going. I haven't been to an auction yet, but it is on my to do list. Good luck on your future endeavor.
Kim
Sounds like your on the way, keep going. I haven't been to an auction yet, but it is on my to do list. Good luck on your future endeavor.
Kim
Sounds like your on the way, keep going. I haven't been to an auction yet, but it is on my to do list. Good luck on your future endeavor.
Kim
Sounds like your on the way, keep going. I haven't been to an auction yet, but it is on my to do list. Good luck on your future endeavor.
Kim
Where I am from, they start the bidding at 2/3 of the FMV. Maybe thats the case with you KariNMike.
Good Luck at the auction. It was quite an interesting experience for us. We, of course, were filled with fear that our house would sell but, in the end...it worked out ok (I guess).
I really need alot of prayers that the lender will work with us. Jereny, you are right, I see it as ONE MORE little step toward the finish line.
~~~~~~ Praying for our dream house ~~~~~~
I been following this tread and its all great that you are so motivated. I plan to go to an auction open house today and see if i can find other investor to add to buyers list.
Stop thinking just DO IT!