Posted by Bill K. (AZ) on December 25, 1999 at 18:25:12:
George,
If you wanted to take on the property with the current tenants, and they get notified, via summons or otherwise, you might be searching for new tenants as they get nervous when they realize that their home might be abruptly pulled out from beneath them.
State laws vary. It sounds like you’ve got it down for NY.
Good luck.
Bill K. (AZ)
I Have Pre-foreclosure Info. What Do I Do Next? - Posted by PyeC-MO
Posted by PyeC-MO on December 23, 1999 at 08:10:00:
First, thanks to everyone who started this site. And thanks to all those whose input has and will help newbies like me!
I know how much the property or the people are being foreclosed on for, the address, owner of record, everything. Do I contact the owner, the “tenants”, or investors for flipping? Do I need to know the FMV?
I am looking to flip the properties but I just don’t know what to do or where to start.
Please help! Also, please give as much or as many details as possible.
Thanks so much!
Re: I Have Pre-foreclosure Info. What Do I Do Next? - Posted by Bill K. (AZ)
Posted by Bill K. (AZ) on December 23, 1999 at 08:58:17:
When the property is in foreclosure, you always want to contact the home owner to negotiate a sale. The seller is, usually, the only one who can sell you his/her home during this stage of events. Occasionally, you might need approval of a lender, but you must start with the owner and work things out from there.
There are a couple of other pieces of information that you should know.
YES! You must know the FMV of the property. Without that, you won’t know how much you can pay for it.
Also, I’d suggest that you find out the actual foreclosure sale date. Sometimes, you’ll get lucky and have several weeks to close the deal. More often than not though, the seller will wait until a week prior to the sale before working with you. When you don’t have a lot of time, you might need to contact the trustee, or other legal foreclosing representative, in order to try to postpone the sale date.
I would stay away from contacting tenants at this stage. If you already have the owner’s name, address, and phone number, then there’s nothing that they can help you with anyway. They have probably been inadvertently made aware of the situation via other investors and maybe even letters from lenders and other creditors that should have gone to the owner. BUT, if they’re not aware, you might cause the owner further hardship by scaring off the tenants. Also, if you wanted this property as a rental, then you’ve got to find new tenants too. It is the owner’s responsibility to let them know what’s happening.
Other than that, GO GET A CONTRACT SIGNED!
I hope this helps.
Bill K. (AZ)
Why do you need to find new tenants? - Posted by George
Posted by George on December 25, 1999 at 18:14:05:
Why do you need to find new tenants? In NY tenents are served a summons so they will know about the foreclosure.