WHAT am I missing? - Posted by BILLY BOB

Real Estate Investing
1

Posted by BILLY BOB on June 04, 2001 at 23:47:45:

Thanks jT-IN, I’ll keep looking and talk to realestate atorney before I pursue this one eny ferther

2

WHAT am I missing? - Posted by BILLY BOB

Posted by BILLY BOB on June 04, 2001 at 22:43:08:

I found a house going up for auction at a trustee sale. The house is in a gated comunity,about ten years old and appears to be in real good shape.I looked through the offical records at the county clerks office and can find only a notice of defalt for $900.00 and a trustee sale notice for $2009.83, but the house looks like it would sell tomarrow for $150,000.00 . WHAT am I missing? Could there be a large lean or other large debt on the property that is not a matter of public record? And if so how do I find it

3

Re: WHAT am I missing? - Posted by SueC

Posted by SueC on June 05, 2001 at 12:50:11:

Maybe have a title company do a check; should cost about $100 but might be worth it.

4

Re: WHAT am I missing? - Posted by JT - IN

Posted by JT - IN on June 04, 2001 at 22:56:38:

BB:

Could be IRS or State tax liens; check at Recorders office, instead of Clerk’s office. If so, may be unable to get new financing.

Could also be getting ready to file BK, and in that case any suit or Trustee Sale will be stopped. Good rule to follow: “If it looks too good to be true, it probably is”.

I had a recent similar situation, where there was NO mortgage on the property and a foreclosure suit for $ 3500. of HOA dues. After further review, it was determined that the beneficial owner of this property was in Fed’l prison, doing 6 yrs for some “irregularities” with fed’l monies. The property went to Sheriff sale, which I bought for $ 110K, which was minimum bid. You just never know some times. Best to do your homework and do like the Boyscouts; “Be Prepared”.

JT - IN