I want to buy a foreclosure property forclosed on by a 2nd mortgage lender.If I become the highest bider what?
Question:
Answer:
You become responsible for the payments on the first mortgage. The second mortgage holder foreclosed to protect their second lien position. Their payoff, in all probability, includes payments they have been making to the holder of the first mortgage holder to keep the first mortgage out of default.
In addition, you will want to check your state's statutes to determine whether any other lien holders have a right of redemption ( the second holder has, most likely, cleared all liens) and that the property taxes are current.
I agree with the previous responder, the services of an experienced real estate attorney could save you a fortune and a lot of grief.
very possible. The first lender has liened the property, there fore you may get stuck owing them before you can get title to the house.I suggese going to a title co. and paying foe a title search,also ,dont go solo on these type of deals , get a good real estate attourney ...and let him represent you at purchase. You will pay for their services, but it may save you tens of thousands
Information on foreclosures here is a site where you can get a list of how many is in your area. http://www.uslandlord.com/ and mortgage information also.
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