If there is a property that is set to be auctioned and I know the auction price is 119,000 to start, does that price equal everything that is owed on that property including taxes, liens etc?
If it is an I offer 120,000k on the home before the auction, will the owner be able to accept with out the banks permission or will they still need it?
Is there good incentive to accept at 120k?
No set rule here. Locally, about 20% of homes start well below what the principal balance even is on the property.
My guess is that some banks decide to start the auction at whatever value their drive-by BPOs on the property came back at while the property has been in foreclosure, and other banks don’t.
So will the buyer inherit the outstanding costs like taxes and liens?
That depends on the situation, but no, if they lower the start amount it doesn’t make it different than any other purchase at sheriff sale. It’s just similar in a short sale that, the bank realizes it’s smarter for them to take less now than to take back the property, I assume.