I have a contract in place through a broker to purchase a bank owned condo. We signed the deal on March 18th to close on April 20th. The bank and the local sherrifs office screwed up the title by mispelling the prior owners last name. (this is what I believe). The title company won’t guarantee the title so that’s the hold up. I have signed 2 30 day extentions thru June 20. I’m getting impatient. The broker says they may have to re foreclose.
Now here’s the deal: There are 16 like units in the complex. Mine is 2bdrm condo. Only needs paint and carpet. HO fees $150/mo. Taxes $1100/yr. No new comps, but average appraised value is $42,000. I’m under contract to purchase for $14K cash. I plan on renting it for $550/mo.
My first thought is to walk away, but after thinking about it before I sign off, is to continue to tie it up with extentions as this may be a great deal. Also there is no guarantee I will get it when they get the title right. Please share thoughts. Is this a good deal or how long would it take to “reforeclose”