Homeowners financing foreclosure?
Question:
Also if someone wins foreclosure, they pay what price, mortgage or value price?
Answer:
Talk about a difficult question to answer. There are many variables, so I apologize if this is vague. Also, my answer relates to the State of Ohio, I am not positive if there will be differences where you are.
1) foreclosure is not difficult, but requires money and time. You will have to pay for a preliminary judicial report which any title company can do for you. That will have to be filed with your foreclosure lawsuit.
If the note is payable to a company of yours, a lawyer HAS to file the foreclosure and you CAN NOT do it yourself. Even if you own 100% of the company, you can't represent it yourself. That's an entirely different question.
So, contact a lawyer if you want to foreclose
2) if you win the foreclosure, the property is sold at auction. Whatever the highest bid gets split in the following way: to each lien holder until every one is paid in full. If money remains after everyone is paid, the owner gets the rest. (minimum bid in cuyahoga county is 2/3rds of the county appraised value)
generally, the house sells for $50k when they owe you $75k. Which means, you get to write off $25k on your taxes and pocket $50k. if you were highest bidder on the house it gets a little more complicated.
Hope this helps, but you really need an attorney to read your mortgage, your promissory note and many other docs.
good luck
You sound like you need to talk to a lawyer, not a message board.
i agree with Jeff. you apparently don't know enough about the process, so you should consult with a lawyer.
if the buyer doens't make the payments, the buyer doesn't deserve the house! think about it!!!!!
(by the way, you don't "win" foreclosure)
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