Posted by Stew(NE) on November 25, 2000 at 19:53:11:
I also invest in foreclosure property. I have been through the entire process and have purchased a property. Everything you stated looks good and it is what occurs in a Deed of Trust situaution. However, I don’t think the owner loses all rights until after the sale. In my tombstones (legal listing in the paper) it always gives the owner the right to make up all payments on the day of the foreclosure. Everyone else bring cash. Here is one pointer, if you want to invest in this area, get to know or find a friend in a title company. You can always pay for a title search (about $50 in my state), but this would add up after a while. If you do at least one property where you buy a policy and you do most of the research at the Registar Office, sometime you can find a sympathic ear in the title company that can double check your work. For example, I did all my research on a property and the Deed of Trust and tombstone had the husband and wife listed as the owners of the property. My friend at the title company check my work and found out that there had been a divorce and the property had been quit-claim to the husband. However, it wasn’t recorded. Guess why? In the divorce settlement, if the spouse didn’t record a quit-claim to the husband after 30 days it automatically becames his. So I didn’t waste time talking to the spouse. Well, my son and I just finished putting a new fence on the deck of the foreclosed property I bought. Renter moves in on Monday with automatic deposit payments.
Here is the URL to a site that focuses specifically on foreclosures http://www.trel.com/wwwboard/wwwboard.html
Heppy Thanksgiving to you.