Re: Look before you leap… - Posted by NJDave
Posted by NJDave on December 07, 1999 at 07:21:24:
Have you had an appraisal, or at least reviewed available market data? Simply because the house sold for $86,000 in 1998 does not mean that it was worth that amount then, nor does it suggest that it is worth that amount now.
Check it out. Make sure that the $86K sale price was an arm’s length transaction and/or not some scam intended to defraud a mortgage lender…
Two years ago, in Monmouth County, New Jersey more than 300 homes were bought and flipped (using straw buyers) that resulted in outrageously overinflated sales prices, and a mortgage loan company (ever hear of Walsh Securities) defrauded of $23,000,000. Four licensed appraisors are now out of business or in jail, attornies indicted, and Walsh (missing out on a $250,000,000 merger) is now out of the mortgage lending business.
If a property was worth $86,000, and sold at public auction for only for $21,000, where were all the Investors, and why didn’t they bid? There has got to be a reason.
If you find out, please let us know.