Your Questions About Foreclosures | foreclosureorder.com

Your Questions About Foreclosures

Your Questions About Foreclosures

Thomas asks…

Can you take out a mortgage on a foreclosure / sheriff sale?

Me and my fiance are looking at homes, and there are some affordable foreclosures / sheriff sales available in my area, and I was wondering if they offer mortgage loans for these type of properties?

Your Questions About Foreclosures

The Expert answers:

Get your loan first. You will be in some serious trouble if you bid and can not pay. They will not give you a pass, they will come after you for the money. Just make sure you know exactly how much you have to pay before you go.

Also keep in mind that the banks have a reserve bid in, the “starting bid” is a just a random number, you still have to bid over the reserve.

Your Questions About Foreclosures

Linda asks…

After foreclosure sale?

A friend of mine is in foreclosure. Their house goes to sheriff sale on July 10th. A realtor in the area has talked to them and talked them into doing something that I have never heard of. According to the realtor, the BANK is the corp. that buys the house at the sheriff’s auction. (I always thought anyone could bid on the house at those). Apparently the bank will buy the house back at less than what you owe. So, in the bank’s “books” the amount owed is now the lesser amount. The realtor also said that since our state has a 6 month redemption period, my friend will own her house during that time. The realtor said they should turn around and SELL their house…and anything made over the amount that the bank paid at the sale is my friend’s money. Example: Suzy owes $100k on her home. The bank buys the home at sheriff sale for $50k. Suzy and realtor sell home for $70k. Suzy makes a 20k profit.

Is this true???

Your Questions About Foreclosures

The Expert answers:

That doesn’t sound right.

The bank will take possession after the auction IF no one else buys it.

Usually redemption periods refer to the amount of time a person has to make good on their debts and get the house back. Ex. She owes $100,000 and wins $150,000 in the lottery next month. She can pay the bank their $100K + penalties and get her house back. This still applies even if someone else buys at auction.

Your Questions About Foreclosures

Lisa asks…

MY HOME IS IN FORECLOSURE AND TO BE UP FOR SALE BY AN AUCTION. IS THERE SOMETHING THAT CAN BE DONE BEFORE THEN?

my home will go for sale DEC 5, 2008 is there any help to stop foreclosure
THIS WAS SUPPOSE TO BE A FIXED RATE THAT BALLOONED AND I CAN’T AFFORD THAT ADDITIONAL AMOUNT

Your Questions About Foreclosures

The Expert answers:

You have a redemption date. After that date, you’re cooked. A friend of mine was in this position last spring. She had until June 10 to redeem the mortgage, that is get the payments current and pay off all penalties. After that date, they wouldn’t accept any amount of payment from her.

Now if you come up with the amount needed after the redemption date, you can certainly call the lender and try to get them to take it. I don’t know if there are laws preventing them from taking it or if it’s just the way they do it. But I’d sure try.

Since you know the sale date, I’d say you’ve passed the redemption date, but maybe not. You should have paperwork that explains the process to you. If you don’t have that or if you just can’t follow it (which would be perfectly reasonable since there’s a lot of legalese in paperwork) call them to ask.

I think you may be confused about the nature of your mortgage. A fixed rate is a fixed rate. It can’t change. Your promissory note tells you things like a balloon coming or a rate increase. My guess is that you have an adjustable rate mortgage with a fixed period of 1 year or 3 years or 5 years, and just didn’t understand what would happen at the end of that time. A balloon payment is scheduled when the mortgage docs are signed. It doesn’t just appear out of nowhere. One of the biggest problems with mortgages is that people sign them without understanding them.

Some lenders don’t do a very good job of educating their customers, but some customers don’t want to be bothered with the details.

Your Questions About Foreclosures

Jenny asks…

Why do I feel guilty making lots of money in Real Estate in a bad market and credit crisis. Is God helping me?

( I am asking this question in this category but it feels right and I feel that the people in this category are more credible. Lots of friends here )

It is strange that I am even asking this question.

I hear all the negative news about Real Estate from coworkers and the media and customers yet I ignore them all and that is because i have FAITH and TRUST in the U.S.

People still need housing and I am there for them. This year I have produced 8 Million is residential home sales ( I mention this figure only to give you a better picture to help answer my question . Not to brag )

Regardless. I am surprised that I am selling homes. I have cash customers, Leases, Owner financing listings, Rentals, FHA, VA, and USDA Loans.

What I am trying to say is that people are still buying homes. I have sold 7 foreclosure homes to 7 different families in the last 4 weeks. They all had decent to good credit and some money down. The ALL have loan approvals. Mostly FHA and VA

But in a strange way i feel guilty. I don’t know why. I feel bad for the realtors that are not producing but I feel like they are intimidated by me and I DONT want them to. Its not my fault that I love my career .

I hope someone here has good advise
I thought about this . Could I feel guilty because I am selling foreclosure homes? Because they once belonged to another family that lost it?

Just lost for thought. I am sure someone here can relate

Your Questions About Foreclosures

The Expert answers:

Well since every bad thing that happens is God’s punishment on the wicked you might look into a career as an evangelist.

Your Questions About Foreclosures

Donna asks…

What do most people do after foreclosure?

Like many other areas in the U.S. I’ve noticed a lot of forclosure listings and homes for sale by banks in my area. I was just wondering, what do most people usually do after their house is taken. Do they rent? Do they move in with family? Do they move to a different area of the country? Or do they somehow beat the system and purchase another home?

Your Questions About Foreclosures

The Expert answers:

Most people seem to move temporarily in with family. Then they find a place to rent.

Rebuilding your credit takes a while. What ever caused the problem needs to be fixed. Then you can start back.

I know several very rich people that at one or more points in their life things were very bleak. Things can turn around.

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Your Questions About Foreclosures
Your Questions About Foreclosures
Your Questions About Foreclosures
Your Questions About Foreclosures
Your Questions About Foreclosures

Your Questions About Foreclosures

Your Questions About Foreclosures