Working on my First Foreclosure Today!

Today, I am meeting with the homeowners of my first foreclosure, and I thought I’d post about it here to make sure I was doing everything right and not forgetting any important details.

I have spoken with the homeowner over the phone and they are willing to look at the opportunity of me buying their house.

I have the auction date as 7/12/06, she thought it was late June, so I am going to have this verified to make sure I didnt copy down the wrong date.

They are “3-4 months” behind in payments totaling $9000.

She said they had an appraisal in the last year of 215,000.
The house tax assessed value is 158,000.

Their original loan amoutn was 184,500 according to the notice of foreclosure.

This was all over the phone and many of the details she was unsure of. Today I am going to verify:

  1. Auction Date
  2. What their principle balance is
  3. Back Payments
  4. Judgements or Liens against the property
  5. Try to find out more information on that appraisal

After that, Im going to get comps on the property, and do a title search for Liens.

If they look good, I’d like to get the property appraised ASAP. Since this if my first Foreclosure, I really dont feel comfortable doing a walkthrough myself, so I think I may hire an appraiser. Then, make an offer.

What do you think? Am I forgetting important steps, or should I be doing anything differently?

Thank you for any help you can provide!


How did it go?

Don,t go to the expense of hiring an appraiser now. Put in in the contract that it must appraise at a certain value. Also to include pest inspection and home inspection. Find some comps, drive around the neighborhood and call the realtors for pricing and deduct 10%l

Do you say 10% to include, realtor fee’s? How did the 10% come about?