I would like to get rid of the properties as quickly as possible after the auction. I will be doing my best to obtain a deed from the owner before or after the auction so as not to have to hold on to it for a year. I have been considering selling them to a wholesalers, but my concern is not getting a decent price. Can I get a decent price from them? TIA!
Are you talking about property tax sales run by the county?
Do you get a deed at the tax sale? I’m thinking that you don’t get a deed, you just get a certificate that says what is owed in taxes…you are basically taking the place of the taxing authority. You generally still have to clear a redemption period before you can foreclose on a property for non-payment of taxes.
In summation, if you’re talking about a tax sale, I am not sure that you will actually own any property afterwards, so I don’t know that you can wholesale anything to anyone.
Please let me know if I don’t understand what you’re talking about.
PB is right, you don’t just walk away from the auction with a deed to the property. There is a process involved to obtain marketable title to the real estate and can be very lengthy, check the details of the municipality where you plan to bid.
I am in CA and here there is no interest, certificates or anything and you get the deed in 60 days or so. I called the county I am interested in buying in and that is what they told me. What I am trying to do is contact the owner and have them sign something that states they will not fight or whatever so I can go about my business. That is if I have not purchased the property before the auction. I’ve read that some people simply do QCD when they deal with wholesalers. I know that I am not articulating myself properly.
Amazing, but apparently true!
from that page
There is a one-year statute of limitations to bring an action to overturn a tax sale. Title companies will generally not issue title insurance until after the statute of limitations has expired.
I am very aware of that, but what I am saying is this: the county covers it’s behind. They post things in the paper numerous times, notify the mortgage company, send notices via certified mail, etc. If they lose their proprty, it’s their own fault. Instead of me being a jerk about it, I like to catch more flies with honey than with vinegar. If I go to them after winning the auction with money in my hand for them to move (within a certain amount of time-say a month) and they agree, I want to be ready to whip out an agreement to sign. Possibly even take a notary with me for 2 reasons: as a witness that I did not coerce them and that they were of firm body and mind to come to an agreement with me and of course to notarize the paperwork so they can not scream fraud.
My initial question was if I can do this, would it behoove me to sell to a wholesaler? I would simply want to sell the house, but I know that I could not get top dollar for it if I let a wholesaler have it. But how much less than what it’s worth will they give me? Thank you again for the answers.
Moonstruckprincess, I am getting ready to do the same thing in TX. I consulted my attorney that was helping me on something else and he gave me the low down as well. I have contacted the owners that do not have mortgages (otherwise you take over that mort. here in tx) and offered to pay their back taxes and give them money to move in return for the deed to the property. Here in TX as long as you either have the deed before the auction or after from the OWNER, not just the deed the county gives you, you can bypass the redemption time period…the owners gave up all interests, rights etc and you can then sell and have your buyer claim title. As for the wholesaling, I am not sure, I am just starting to study that on my own and bouht Steve Cooks course, I would be interested in knowing this answer as well. Good luck!!
I actually went to the Recorder’s Office today and found a few nice properties that are owned free and clear… :shocked. I plan on contacting them next week (before the auction) and offering them a few grand to to sign the property over to me and to move without incident. Then I’ll pay the back taxes off and sell it… :beer
I’m curious, have you had any success in convincing ‘free & clear’ homeowners to sign over their deed in return for you paying off the past due real estate taxes? I can’t imagine anyone accepting such an offer.
No, I just found them yesterday. But on another board I have seen people convince them with land, at least. Pay them a few thousand and have them sign the paperwork. The fact is that it’s going to happen. If they can not come up with the money, it’s going to happen. If I don’t get it, someone else will. They have no interest in the money paid at auction. If it’s won at auction, they’ll get kicked out by someone anyway. This way, I don’t have to go through the whole year holding and all that and they get some money to move. It’s worth a try…