Ask MetaFilter questions tagged with foreclosure

What law says my lease is gone?

fireoyster — Fri, 04 Dec 2009 20:02:55 -0800

In Texas, is there a specific law or section of law that says a tenant's lease goes poof when a landlord's property is foreclosed on by the bank, or is it one of those situations where a whole body of law and court decisions are added together to make this situation? I have (had?) a lease in Texas with a company that owns a small less-than-20-unit townhouse building. The lender has foreclosed on this building and posted notices on all the units that reads: "Dec 1, 2009. As of this date, $bank is now the owner of this property. Please mail all rents payable to $bank to $address." I checked the county records and the building had been posted for a foreclosure sale on December 1st, plus I called the person whose name was on the letter (identified as an "Executive VP in Charge of Lending and Finance" or some amazing title) and specifically asked: "What happened, did your bank foreclose?" The answer was yes.

From what I have been told, this now means my lease has gone the way of the dodo. I fully intend to take advantage of this fact, but since the bank is now the owner, and they have nothing but money, lawyers and time, I would like to read the relevant sections of law that make this so. I have been reading Texas Property Code sec 91 and 92, but the only mention of foreclosure is to exempt a section relating to security deposits from banks that foreclose.

Considering I plan on delivering notice first thing Monday morning, I called a few local lawyers today, but they were out of the office or otherwise unavailable. I also tried calling the Austin Tenants Council, since it's their web page where I found this information (but not legal cites) initially, but they didn't answer the phone. To be specific, I'm not looking for legal advice, just pointers to an area by people who are better at reading law than me. Thanks in advance.

Foreclosed on when the payments are up-to-date?!

goofyfoot — Thu, 19 Nov 2009 22:40:41 -0800

A friend got a notice of foreclosure on a house on which he's made regular payments for over a decade. It's in Sonoma County, California; he's lived in and owned the house since the late 90s. I've advised him to lawyer up, and tomorrow will help investigate what pro bono attorneys are available to him. He has little money; his home is his wealth. Meanwhile, maybe someone here has been in this position and can provide a roadmap? His e-mail to me:

I got a weird story to tell you.
On November 3rd a notice was put on my home saying it was a foreclosed property and I have to move out.
So I knew it wasn't right because I'm current on my loan and have never missed a payment.
Anyway it turns out that my lender seems to have foreclosed on my house, put it up for public auction and then when it didn't get a high enough bid, it was sold to freddie mac.
I think under CA law if someone had picked it up at auction I would have legally lost the house.
Now freddie mac says they own the house, but they're saying that they won't resell it at auction because of what I've told them.
My lender says they're investigating but won't tell me what's going on.
I've been cautious about going out, just in case they try to block me from coming back.
I sent a complaint form to the state lender regulator in Sacramento,
and I also filled out a request to have the consumer news advocate "7 on your side " look into it.

How to Defend Against a Secured Parties Claim

Muirwylde — Thu, 05 Nov 2009 20:06:30 -0800

[Bankruptcyfilter] YANML...speaking in hypotheticals only. Exempt furniture / wildcard exemption vs security interest of creditor in same said furniture with a UCC Security Agreement. Does the furniture get an exemption? Or does the furniture get Repossesed via Foreclosure of Security Interest in Personal Property? Furniture was just pledged as collateral...never was sold or belonged to the creditor. How is this determined... by the Bankruptcy Trustees discretion, or by law?

How can I make it go away?

anony-me — Mon, 10 Aug 2009 15:06:21 -0800

Is bankruptcy the only way to put this foreclosure mess behind me? I bought a house near Las Vegas in February of 2005. At the time I was working as a contracted consulting engineer and I could afford the house. It sounds so stupid now, but I really did not understand the housing market bubble, I just wanted a place to live. In July 2005 I was essentially laid off - several clients canceled projects and my contract disappeared.

I was able to find another job but not in Nevada. I moved back to LA and rented the house, but for far less than the note ($1150 of $2400), so I kept paying the rest. After working 9 months in LA, I was laid off again (June 2006). I got married in October 2006. After collecting unemployment and searching for a job in my field, I finally had to give up and take a job at a grocery store. I still continued to pay the mortgage all this time, but in February 2008 I had a baby and have not worked since.

Starting in April 2008 I tried working through a company to negotiate a short sale on the house. I put together tons of financial information demonstrating how my circumstances had changed. The bank never approved any of the short sale offers and finally foreclosed in March 2009. I was not contacted by the bank at all during the process. Now today I get a letter from attorneys retained by the insurance company that offered the PMI on the loan (it was a 30-year fixed 95% down) demanding payment in the amount of $65K.

I am unable to get a job in my field in the LA area. To be honest my field of expertise was kind of narrow and I have made some professional mistakes. I suspect word has gotten around. My 10 year background looks "too exotic" or "overqualified" for a lot of other jobs. I cannot even get a menial job that will break even once childcare and expenses are factored in. I have not contributed to the bottom line of my household since I moved back to LA. I also have $11K in credit card debt (the account has been closed and I have been paying it down as much as possible). I used to make $75-85K a year, I guess I might have been overextended but really it wasn't that crazy when I was working.

But what do I do now? There is no way I can pay this. I don't think my husband should be responsible, since all this happened before we were married. But is he? How long are they going to come ofter me? Would bankruptcy work? If I need a lawyer, how do I get one? What kind do I need? How much does it cost? We have no money.

How do I know if I'm even getting good advice anymore? I feel as though I am loosing my whole life over a few bad decisions and some circumstances that were truly beyond my control. I don't know how to get another chance.

Thank you so much for any information or suggestions you are able to provide.

Is there help out there for landlords who want to avoid foreclosure?

karmagirl — Sun, 12 Jul 2009 14:16:44 -0800

I'm a landlord who's completely underwater in her mortgage, has a job but just received a pay cut, and has tenants but the rent doesn't cover the mortgage payment. Can I get help even though it's no longer my primary residence? Or will I have to become another statistic and go into foreclosure? I became a reluctant landlord when I had to move out of the state for my new job and wasn't able to sell my house. I found tenants and have been renting the property for a year and a half, but the rent is $800 less than my mortgage payment. I'm charging as much rent as the market in that area (northern VA) will bear. The house is worth half as much as I paid for it in 2006, and I'm underwater in my mortgage by about $150,000. I have not purchased another house, and am currently a renter myself.

I have a good job, but my entire company just went through mandatory pay cuts to try and survive. I've racked up quite a a lot of debt (other than the house) trying to survive myself. It's gotten to the point where I just can't afford trying to hold on to that house anymore. If I could at least get my mortgage payment to be as much as the rent that's coming in, I could probably hold on. But since I'm labeled as an "investor", not a primary residence homeowner, I can't get my lender (or anyone else that I've found) to even listen to my predicament.

I want to do the right thing, especially when it comes to the tenants (I have no desire to screw them over). I don't really want to add to the housing market disaster by adding another foreclosed property, but I may not have a choice. It's a huge amount of debt that I'm not sure I should risk trying to hold on to. Is there any hope or help out there for someone like me? Are there any companies that can help me renegotiate the terms of my mortgage, even though I don't live in my house anymore?

Money for Nothing, McMansions for Free

maxwelton — Tue, 30 Jun 2009 02:13:14 -0800

MERS mortgage avoidance: huh? This doesn't affect me or my mortgage, but a friend of the family is sure he'll get to keep his rather expensive house--for free, mortgage completely voided--rather than being foreclosed on: See here.

This just seems like the same of reasoning that the "the IRS is illegal" folks try. But I'm curious if someone smarter than I thinks there is flame in this smoke, so to speak. (Said FOTF is infamous for get-rich schemes and flights of monetary fancy, so I'm skeptical.)

Do people lose their homes over health expenses?

WinnipegDragon — Wed, 24 Jun 2009 18:03:54 -0800

Do people actually lose their homes to pay for health care in the US, or is this an urban myth? Basically, I am doing some comparisons of the US vs. Canadian style single-payer health systems. What I can't find are real, documented cases of people being driven to bankruptcy and/or losing their home due to health care costs.

Does this really happen, or is it just a myth? What I would like are links to real stories of individuals who have lost everything due to health expenses, if they actually exist.

Much obliged!

Had spouse, now have bad credit

Anonymous — Wed, 15 Apr 2009 14:25:42 -0800

Bad credit due to ex spouse. So how bad is this black mark going to hurt me? Four years ago, I became divorced from my spouse, Chris. We divorced no-fault but Chris was (perhaps still is) an alcoholic who went over time from social drinking to having a few too many a little too often to finally being unable to function in the real world.
Chris wanted and got the house which was fine; Chris liked it more and at the time made more money than I. Our divorce papers gave Chris the responsibility of all costs associated with the house and specified Chris had 12 months to sell the house or refinance to get me off the deed and mortgage.
Chris dragged feet; I followed up. Chris lost job. The mortgage fell behind. Chris’ folks bailed Chris out. Per the law in my county, I took Chris to mediation. Chris agreed to sell or refi the house ASAP. Didn’t happen. Lawyer helped me file a contempt claim against Chris for violating this (and several other) provisions of divorce. Chris' parents give more money to pay mortgage. Court date not set due to court calendar. Chris did tell me there was a potential buyer, dragged feet on getting paperwork to me, then came to me with sales contract at one point which I signed but then title report came back with lien and buyer bailed out. In the meantime (2007), foreclosure happens because I can’t afford to pay my own rent plus the back mortgage, a lien (placed after the divorce for a default judgment someone had against Chris), HA fees, etc totaling over 20k. Chris is totally broke so no help there.
So I have a big honking foreclosure on my credit report. It’s the only big bad thing there. I may have some (very few) miscellaneous late payments (~30 days) over the last decade but otherwise all is A-OK. I currently (knock wood) have stable employment and no debt.
However, I may want to seek employment elsewhere eventually, and I have discovered that I may need to apply for a higher level security clearance than I have already. (I got the clearance before this happened).
So how bad is this black mark going to hurt me with job stuff? And how do I cope with the occasional feelings of anger, guilt and embarrassment?
The friend who looked over this question said I should mention that “Chris was emotionally abusive and had a violent temper and was very clever about deceiving me about what was going on while we still lived together”. (fwiw)
Yes, I know I could have done things differently. I was young and naïve when I married. Thanks for any advice. I can be reached at Howbadcanitbe AT gmail.com

"Securitized" Mortgages and Foreclosure

webhund — Mon, 09 Mar 2009 13:06:22 -0800

Financial pundits and politicos keep repeating the mantra that "toxic" mortgages can't be renegotiated because the mortgages were sold off, split up into a thousand pieces, and fragmented as part of the whole process of creating mortgage-backed securities. My question is, why doesn't that same logic also hold true in reverse when a foreclosure occurs (i.e., if we don't know who owns it, how can anyone foreclose on it)? It's repeatedly claimed that no one knows who owns all of these little pieces of mortgages. For example, in the current mortgage rescue plan, immunity for loan servicers is included because they claim that immunity is needed from the institutions that bought these mortgage pieces if the servicers are to going to renegotiate these terms. One of the fundamental tenets of foreclosure law is that the mortgage holder seeking foreclosure has to prove that it owns the mortgage it is seeking to foreclose. If these mortgages were in fact carved up into a million little pieces, which we have to assume many were because that's the industry's talking point mantra, then how can one lender/institution claim the right to foreclose it if that particular mortgage has been "securitized?"

Are 401k's & IRA's subjec to a Deficiency Judgment? (Colorado)

olddogeyes — Tue, 24 Feb 2009 11:44:48 -0800

After a foreclosure & a Deficiency Judgment, can they go after my 401k & IRA? I am a few months away from foreclosure on a piece of property in Colorado. I assume that the lender will pursue a Deficiency Judgment. If they do, can they go after my 401k and my IRA's? Are there any assets that cannot be touched by a DJ?

Also, maybe I shouldn't assume that they will pursue a DJ. Is there any way to find out if my lender (WAMU - Washington Mutual) regularly pursues them in Colorado?

If it makes any difference, the total value of my retirement savings (401k & IRA) is less than the likely amount of the DJ. In other words, were they to "tap" my retirement savings, it would wipe out 100% of the value AND I'd still owe money.

Thanks for any insight...

Little (empty) boxes on a hillside

nax — Wed, 18 Feb 2009 06:07:46 -0800

Why are we so focused on the construction of new homes? Report on NPR this morning about the low rate of new home construction. But why are we still so focused on building new single family homes? Aren't there huge numbers of empty, (unsold or foreclosed) houses already kicking around? Don't people need apartment houses? Rentals? Construction jobs aside, what am I missing here?

Legit Foreclosure Listings?

RandlePatrickMcMurphy — Wed, 28 Jan 2009 13:59:32 -0800

Is there a site that lists foreclosures, reos, etc that is a little less sketchy than Realtytrac.com? Trulia, Yahoo Real Estate and others all seem to link back to Realtytrac, a site that sets off a lot of my scam signals. For example they require credit card info in advance for a 7 day trial that automatically converts to a $49.95 subscription.

I've seen this advice: "Search for foreclosure listings in real estate magazines, newsletters, newspapers and Internet search engines. Call lenders for real estate owned (REO) properties lists of foreclosures. Government agencies such as Fannie Mae (fanniemae.com) and the Department of Housing and Urban Development (hud.gov) also advertise foreclosed homes for sale. Check public records for other leads. A lender deciding to foreclose must file a notice of default in the local county clerk's office. "

Surely there is someone out there where I can get that in one place without feel like I'm buying exercise equipment on late-night TV. Or perhaps someone has used realtytrac and its not as bad as it seems.

Fed up with buying our first house!

ForeverDcember — Fri, 23 Jan 2009 08:38:43 -0800

What are our options in closing on our first home? (Details inside) My husband and I put in an offer on a foreclosed home in December. Our offer was accepted and contracts sent in etc. Our closing date was set for December 29th. Today is January 23rd and we still have not closed on our home. Everything was done on our side, however, the title company that the bank chose (the bank that owns the house) has been dragging their feet.

Finally our realtor hired an attorney on our behalf (and on his dime) January 15th. On January 19th everything was supposed to be completed thanks to his help and we would "most definately be closing" by today, January 23rd. Yesterday my husband got a call from our mortgage company and we found out that our rate expired on Tuesday. Apparently they had been trying to "float" our loan to see if rates would come down this week and it "backfired" so we lost our rate and had to decide on a new one.

If the mortgage company could send out the paperwork that day then we could probably close Monday. I called today and the paperwork did not go out. We are now looking at Tuesday, at least. During this time we have lost our homestead exemption for the year (since we didn't close in 2008), our great mortgage rate (5% with no points), the interest that our closing money was accruing before we pulled it out of savings, and now we are fast approaching the end of our apartment lease.

This is our first home so I am at a loss on where to go from here. Any advice would be greatly appreciated as I am at my wits' end!

Why collect rent when you can have an empty worthless building?

nax — Wed, 14 Jan 2009 08:04:39 -0800

How come renters need protection against foreclosure? I keep seeing news reports about legislation to keep renters from being displaced when the landlord goes belly up. Doesn't their lease do this already? What's the advantage to the bank of kicking out the renters while they try to sell the building?

Forclosure on a rental....options?

AltReality — Tue, 13 Jan 2009 11:53:50 -0800

My parents have been renting the same house for about 21 years. The landlord died a couple of years ago, and the house was purchased by a neighbor. My parents were allowed to stay. They received a notice a few days ago that the house has been foreclosed on and that they have to move by mid-Feb. They are extremely financially limited. What options are available? This is in California. My Step-dad has been unemployed for months due to an injury...his disability has run out though...but the doctor will not allow him to return to work. (He really isn't healthy enough to work anyway)...but they won't approve social security or perm disability or anything (not sure of all the details). My Mom has a very part-time job, only making around $50/week on that. They have another couple of jobs that bring in a few hundred a month (maybe a grand?) but they are both "under the table" and therefore can't really be used to demonstrate income.

The good news: They need to get the hell out of that house. It has been a burden on them for YEARS. The electricity is screwed up...the HVAC is screwed up....the roof is screwed up....it's just a huge mess. (well..the house is a mess..but it is kept clean)...

So the problem is finding another place. We are looking through Craigslist and sacbee and stuff...but I don't know how that will turn out.

Do they have any options? Is there any way to extend the move-out date? The way we figure it, there's no way they would pass a credit check with a rental company...so they have to find someone willing to rent to them personally? Oh yeah there are two teenage daughters that still live with them. There are 3 other kids (adults) but none of them are really in a financial position to be able to help out (myself included). :(

Any thoughts?

To A Near-Disabling Extent, I Wear the Opposite of Rose-Colored Glasses

Anonymous — Mon, 08 Dec 2008 13:51:26 -0800

I see the world, and all in it, as something vicious and ready to attack me, and that influences far too much stuff in my life. Help. As a pre-adolescent and young adolescent, I was badly bullied; one bully was so out of control he went away for a few weeks to a mental health facility; in another case, older Scouts in my Scout troop did such things as shitting in my sleeping bag, as well as worse things I just can't remember. As an older adolescent, my family saw bankruptcy and foreclosure thanks to unethical actions by people my father worked with. I remember feeling so helpless to stop the world's attack of my family, trying to do small ineffective shit to try to help my family (dishes, vacuum, etc.), trying to talk Mom down from her sobs. At college, I was stuck on a geographically remote campus (30 minutes from even a diner) and while there they destroyed any confidence I had in myself.

The problem is that I expect the worst from everyone I ever interact with, and from Fate. It colors everything everyday. If we have a pleasant conversation, you're merely tolerating me. I can't rustle up the desire to form new friendships, because if we become friends, something will happen. If you're a girl, you certainly won't think I'm funny, or interesting, or cute. Ask me whether I really believe I'll ever reach any of my Major Goals, or when I last had fun. If something bad can happen, it will. When the worst happens, I take it as confirmation. When it doesn't happen, it doesn't really penetrate; I simply grimly prepare for the next shot. My rational mind can and does counterargument, but it's not a match for the feeling, it just lessens it. Occasionally.

This issue's been so stubborn it's made therapy last years: perhaps because when something bad happens in my life, big or small, that part of me seizes upon it as "evidence" it's right, reinforcing itself.

What do I ask? Well, how can I go about really disabling this thing, since it's so well-planted in my head, coming from so early in my life? It's not part of the back-and-forth thoughts I hear myself think; it seems to be part of the inherent, automatic assumptions I make about everything around me (on the same level as "the sky is blue," just assumed). Others got help breaking their lifelong self-delusions here; I'm hoping to get the same kind of advice.

I want to start assuming the best of people, and view new possibilities with freshness and the desire to explore, not thinking everything is predisposed to end badly. I'd like to be as confident in others' friendship (or maybe love) as I am in my cat's affection: feel that same peaceful security in others.

I'm at UtterlyAnonymousEmailAddress [at] gmail dot com, if needed. Thanks in advance.

It's not a six foot by six foot political banner

jeribus — Thu, 16 Oct 2008 16:53:32 -0800

Question about yard signs (not of a political scope). The house across from mine went into foreclosure a while back. A few days ago a for sale sign went up. Now it is a billboard. Location, Saint Paul, MN. I have no problem at all with the for sale going up. I'd rather see someone living in it then it sitting empty. That didn't bother me one bit.

But today another batch of signs (not from the real estate company) got plastered all over it. These are are from an auction company and have FORECLOSURE plastered all over them. Included one giant one on the garage, like 6 foot by 6 foot.

Searching for signs and foreclosure is pointing me to signs of foreclosure. Not actually foreclosure signs.

I am fairly certain that I cannot put up a large series of giant signs up to promote a company. Can they?

Help with House

CollectiveMind — Wed, 01 Oct 2008 07:29:25 -0800

Under financial pressure. My house isn't selling. I want to avoid foreclosure and don't care about making a profit. It's the original mortgage; a 30-year fixed at 5.5% in good condition (attractive older house and well maintained) in a decent neighborhood (property values steady as those in more expensive neighborhoods fall). If I price it only to pay off the mortgage and cover commissions, would it attract buyers? Doing so would drop its price 20% below comparables. This would undercut the neighborhood, but not like a foreclosure would. Advice?

Buying a Short Sale Property

Anonymous — Sun, 17 Aug 2008 09:12:08 -0800

I just saw a house in NY that is being offered as a short sale. It needs work, but the investment would be smart. My real estate agent was trying to dissuade me about considering the house by saying that the house needs so much work. It does need work, but not as extensive as the agent is suggesting. How do I negotiate the process of making an offer and have it accepted? A couple of points to ponder: my agent teaches a foreclosure class and I'm suspicious that he wants to purchase the home himself; 2 agents are involved - mine and the one representing the seller. Can I speak with the seller/bank myself? I want to be sure that my offer is presented and that I'm not outbid by someone (like my agent) or that the agents work together to get me to raise my offer - and their commission -by just saying that my offer is too low. Is there anything to protect me as the consumer? I feel like a sheep among wolves!

What happens when the bank forecloses on your apartment?

christinetheslp — Mon, 16 Jun 2008 14:58:19 -0800

We just found out that our landlord is facing foreclosure. How screwed are we? My husband and I rent a flat in Milwaukee, WI. We found out today through public court records that a bank has filed for foreclosure against our landlord. We haven't heard anything from the landlord, but he's not the best at communicating things to us, so this is not shocking. We currently live here without a lease...my husband signed a one year lease in October 2005, but when it ran out the landlord never asked us to sign a new one. He just accepts our rent check every month, and we just keep living there.

We have no experience with foreclosures, so we're wondering what to expect. If the bank does foreclose on the property, what happens to us? Can we expect to stay in the apartment after the foreclosure? Will we get a certain number of weeks notice that we'll have to vacate? How long does a foreclosure take? We'd especially love to hear from anyone who has been in a similar situation. Thanks!

I'm trying to find meaning in these odd homeownership patterns. Please help.

croutonsupafreak — Tue, 29 Apr 2008 18:32:49 -0800

Help me understand quit claim deeds, why they are so prevalent in this particular heavily-foreclosed-upon Washington state neighborhood I am researching, and some other fishy data I have uncovered. I am researching a 92-home subdivision somewhere in Washington state. The results of my research don't make a lot of sense. Can you help?

My interest was piqued originally because 14 of the homes are in, or have recently been, in foreclosure, which is much higher than the local, state and national foreclosure averages. So I've looked up the individual property records for each home.

The vast majority of the houses belong to people whose last names fall into one of two ethnic groups (eastern European and a particular Asian nation).

About 20 of these homes have zero-dollar quit claim deeds filed within the past three years, so the property changed hands without any money changing hands. In some cases, there have been two or three quit claim deeds.

A quarter of these large $250,00-$300,000 suburban homes with yards are owned by people who live off site - the owners registered addresses are not the same as the address of the house.

Is this normal? Is there something about quit claim deeds that I don't understand that would explain this number of transactions? Are there rational conclusions that I should be able to draw from the information I have unearthed so far? As I head back to the court house to do some more digging tomorrow, what should I be looking for? If I eventually visit the neighborhood, what should I watch out for?

My initial goal was to understand why this neighborhood's foreclosure rate was so high, but now I also want to understand what other forces may be at play in this neighborhood.

Working with lender's real estate owned (REO) department?

BirdD0g — Tue, 25 Mar 2008 12:30:37 -0800

Does anyone have any insight or experience into dealing with lender REO Departments (Real Estate Owned) when it comes to purchasing a foreclosed property? My wife and I are interested in purchasing our next primary residence from the bank prior to any sort of auction. Essentially, I'm wondering if we can put in an "order" of sorts with the bank and have them contact us should something that meets our criteria become available. However, I'm not familiar enough with lender REO procedures to know if this is even a possibility, much less if we really stand to find a great deal in this manner. Are they willing to unload foreclosed property efficiently if they have approved buyers waiting in the wings?

Moving somewhere affordable!

hamster — Thu, 14 Feb 2008 12:22:58 -0800

Can I sell my place if I'm on a repayment plan for its mortgage? I own a home, but have had trouble making payments on the mortgage--my parents talked me into buying it, but it's been too much to handle on my salary.

I worked out a payment plan with my lender to avoid foreclosure, and will be able to get things back to normal by May.

I'm planning to move across the country this summer, and want to list the place as soon as possible because I know the housing market's crap. How would this work if I'm not up on payments?

Also, my parents don't know that I've worked out a plan--this is a long story about family dynamics. They will be helping me to list the place, but I don't want them to find out what's happening. When will I need to come clean? When we have a buyer? Before I list it?

Thanks in advance.

How should a renter deal with foreclosure?

rezaman — Mon, 19 Nov 2007 10:46:54 -0800

What do renters do when their landlord's property goes through a foreclosure? I saw this post on the Consumerist and want to see what the hive has to say. How is someone renting a place affected by their landlord's lender foreclosing on the property?

Do they stop paying rent to the landlord?

Do they have any chance at getting their deposit back?

Will they get evicted when the foreclosure finalizes?

Will they be notified of the foreclosure ahead of time?

Should they get an attorney?

FYI, I live in California, but I'm just speculating so feel free to respond with info about your state as well.

Help us buy a foreclosure!

bananafish — Thu, 25 Oct 2007 22:43:29 -0800

How can I buy a decent foreclosure in Silicon Valley? My fiance and I have determined that we cannot afford a decent home in Silicon Valley (just like everyone else). By decent I mean at least 2 baths, 3 bedrooms, seismically reinforced, and in a safe neighborhood with good schools in Sunnyvale or Mountain View. We are now exploring desperate measures. The recent spike in foreclosures gives us a modicum of hope. Here are the questions we have:

1. How to find listings of homes in foreclosure. Googling turns up only spam.

2. Can you have the house inspected if you are buying a foreclosure?

3. I am an attorney, so I have better than average knowledge of liens, title searches etc. However, I'm still concerned about buying a house with that has tax or other liens that I might not know about. Other than the average title search is there any other method of discovering liens?

4. How much cash is needed up front? We have adequate money for a down payment, but are there other costs associated with a foreclosure that must be paid in cash?

5. Any other special problems we should be aware of?