Financing a foreclosure for owner occupied house

I’m looking for the best way to finance a forclosure property that I want to occupy myself.

Foreclosure: $149k
Home Value: ~$190k
Deposit Required: 5%
Upset Bid Time: 10 days
Total Payment Due: 10 days after upset

I’ve contemplated getting a hard money loan to float me until a traditional mortgage is closed on the property, but that would cost a few thousand extra…

Can i start the process of a traditonal mortgage after putting in my bid (before the upset period)?

Any ideas/comments/suggestions/whatever is greatly appreciated!

Thank you

10 days is an agressive timeline for most conventional lenders; you would need to have all your ducks in a row to have a chance.

Things like prearranging the appraisal for the day the bid is accepted, submitting all income and asset statements to a lender to get preapproved before the bid day, etc. increase your chances of funding it.


Scott Miller

That is a good idea. I’ve talked with a couple of lenders and they say it is usually a 14 day minimum to push through a mortgage… assuming there are no snags.

:cool WOW you like living on the edge ?? HEY it is going to be a longer time than that to get as others have said all the papers in place /// ducks in a row YOU should have if you could have started working on this house a month ago so you would have had time and more options :banghead

Don’t like living on the edge, just trying to glean some information from knowledgeable people. I can always go the “hard money” route first, then refinance into a traditional mortgage, but that would cost several thousand extra that I’d rather not spend. I doubt i’ll have enough time to get all my ducks in a row for this deal though. Hey, i’m not even sure what all the ducks are at this point!