[mikewass]

A home in my neighborhood has been vacant since January 2007, the owner had died.
There are no known relatives.

The lawn has been taken care of by the neighbors to keep the area looking nice. The house is still fully furnished car in garage and all. No one has been in the house except the mortgage company to change the lock on the door afew months ago.

From doing an Arizona Assesor search I found the lien holder, contacted them, they got me in touch with the folks handling the foreclosure. The sale date has been set.

Here's are my questions:

When you buy at a foreclosure sale, it of course is to the highest bid, what other charges and fees should you expect? The foreclosure company could not give me that information.

Do you know those fees prior to bidding, or is it a surprise?

If the home does not sell at the foreclosure sale, does it go back to the bank, original lien holder?

Is it better to purchase it from the bank vs. the foreclosure company?

Why? Is there a difference? Will the bank finance it?

In the foreclosure process if you win the bid , a $10,000.00 deposit is required and the balance in 24 hours. How do you get a loan funded that fast without ability to do the title work?
I realize I can get a pre-approval, which I have done. But getting the balance in the 24 hour required time is a problem!

I assume you would lose your deposit?

I would appreciate any and all information on this situation. The clock is ticking!

Thank you

MBW

[DianeV Sr Loan Officer]

I have never heard of having the balance of funds within 24 hours. Usually the property is advertised 4 times and the amount of deposit needed at the time is posted in the add. In this case, $10000. I would ask that question again. Any foreclosures I have financed have always had a 30 day time in which to close.

Regarding fees: I think the bank will include their fees when they announce where they want the bidding to start. If there are no takers the property goes back to the bank.

Depending on how the sale contract reads, you may lose your deposit if you do not close within the time designated in the contract.

The "foreclosure company" is usually an atty for the bank that handles the foreclosure. They do not own the property. They just handle the transaction. If no one bids at the auction you can contact the REO (real estate owned) dept of the bank afterwards and offer to purchase through them.

[Fr_Chuck]

One of two things happen, the bank bids the amount that is due them.
If no one bids more, then the bank owns it. So normally they will want a bid at least one dollar more than the current mortgage payoff amount.

You will have title fees and closing fees. Also check to see if there is a auction fee that is added to the sale amount. The auction company doing the sale can tell you that.

Normally this is why few people buy at these sales, since they want people who can write them a check for it, or people with a line of credit at the bank where thy can just walk into the bank and get the money.

But yes normally there is a time frame of 10 to 30 days to close after the sale. The reason is they don't want to sell it to you and then you not have or can not get the money.