Probate/foreclosure help - Posted by Mary Nichols

Posted by Mary - CA on August 02, 2007 at 20:52:16:

Thanks, but it’s gone. Some San Jose “investors” bought it for $240k, and cured the foreclosure, and since it’s not going to hearing for confirmation, no overbids are possible. It was Stockton, San Joaquin County, California.

There was a lot of equity (loan was $110k; $9k of that was back payments & penalties, legal, trustee’s fees etc.) but I don’t think they got much of a bargain. FMV was probably $285k, as is, in a declining market. And it was at least a minor fixer. ARV maybe $329k if market doesn’t continue to decline (though I’m expecting another 10%; others are expecting 15% or more).

Maybe next time.

Just for my reference, any suggestions for dealing with this type of problem when time is short?


Probate/foreclosure help - Posted by Mary Nichols

Posted by Mary Nichols on June 29, 2007 at 22:28:34:

Interested in making an offer on a house presently in probate. A number of problems. . .

House: 4b 2b in decent neighborhood - 3 other houses on street on the market - 3/2 $309k; 4/2 $357k; 4/2 $375k. Probate house last appraised in 2005 (peak of market) at $350k. Probably in the $300k range before discounting for condition (looks abandoned; lawn dying, etc.) (I think considering current market, others in neighborhood a little high.)

Rental value probably about $1400 +/- $25.

Learned of house from attorney for estate. Heir out of state; no cash in estate to pay bills (i.e. probate fees ~$7k) Notice of Sale for sale on July 16 (yes a bit short).

Reinstatement of loan requires about $9,400 (was $7841 as of 5/31) Balance approximately $104k

House has been on market since Nov. 2006. No offers. Zip. Zero. None. Realtor says she thinks she should get $185k and put sign in yard, but never put on MLS (!)

Any way to buy this by reinstating the loan? 2nd to sole heir?

I’m out of money and credit at moment due to business failure and pain in the neck business partner. Deal could fix most of my $ problems (equity of ?>$100k at $185k or more if heir would sell for $160k), but unsure of any way to do this.

Looking for any good ideas (realizing approximately 2.5 weeks to do this).


Re: Probate/foreclosure help - Posted by IB (NJ)

Posted by IB (NJ) on July 04, 2007 at 21:44:36:


What are the actual sales in the neighborhood (not listed prices)? How much are you figuring for repairs?

How about bringing in a money partner? With that much equity and that little time it would be good to either bring in a reliable money partner and buy the property cash OR flip to an investor you know wil close.


Re: Probate/foreclosure help - Posted by Mary Nichols

Posted by Mary Nichols on July 05, 2007 at 11:17:43:

I think the time is too short especially as realtor is totally non-cooperative.

I’m working on a flip, but with the realtor not giving any information “investor is buying, will wire money Friday or Monday, or we’ll let it go at foreclosure, or we’ll (i.e. investor??) bid at auction” - this started out as helping probate attorney while he was on vacation. (“I’m not expecting any problems while I’m gone.”)Luckily he had recorded Request for Notice, or the sale would have been over before we knew about it. Oh well, you can lead a horse to water . . .


Re: Probate/foreclosure help - Posted by Rick, the Probate Guy

Posted by Rick, the Probate Guy on August 02, 2007 at 15:46:05:

Could you please re-post the numbers so that it’s simpler, i.e.:

Estimated FMV

Max purchase price
existing loan prin
existing loan cost-to-cure

Then, we can advise you how to approach, structure, etc.

Also, what State/County is this in?

Can we presume that this has an awful lot of equity or is this a time-waster?