sub2 a few days before auction...how to make sure it does not go to sale

General Real Estate Investing
1

hey guys, i might be encountering a situation where i’d have to pay off the missed payments and take the home sub2 for a little while.

the sale date is in a week, but the homeowner might not decide to work with me until a few days before (if at all). i’m trying to get my ducks in a row in case she does.

how would i go about catching up her payments if i have to do so a day or two before the sale?

thanks in advance,
ryan

2

Have owner contact the lender to get money to lender or attorney. I don’t know what state you are in. But I am sure you can get a wire in the lender’s hands before the auction date. Just get it faxed to you before you do.

3

JR,

Great to see you on this board, how are things going in Florida?

$Cash$

4

$Cash$,

Things are great. The insurance and taxes are getting to me a little. So I am being more choosey on my HOLDS right now. But we have Sunny weather and the wind is coming out of the south most days so its good fishing most weekends. I just got to remind myself to buy that boat engine.

Hope all is well for you?

5

JR,

Things are super, doing a lot of fishing these days.

Keep posting you are a benefit to this board with your knowledge in our great industry.

$Cash$

6

I do not know how things work in the Sate you are, but here how it is in the fine state of Georgia:

Lender has to advertise for 4 consecutive weeks after that property goes to auction on the county courthouse steps every first tuesday of the month.

This means that the case from the lender goes to the foreclosing attorney 2-3 months before the auction. From this point lender will not communicate with anyone, you have to go to the attorney. Once you contact the attorney they will give you the “reinstate amount” which is the money owned to the lender to bring the loan current + 2-3k of attorney fees, advertizing, etc and they will give you date when they have to receive the fund in order to cancel the auction.

So what you wan to do is have a closing with good closing attorney who knows SUB2 well. you would bring the funds to the closing table, owner will sign the deed and closing attorney would wire the fund to the foreclosing attorney to stop the foreclosure.

Ihave done this couple times and believe me the foreclosing attorney can be slow and a pain in the butt to deal with. They do not care, either way they will get paid.

good luck!