Trustee’s Sale Advice - Posted by Kate
Posted by Kate on November 17, 2000 at 11:56:00:
Hi folks, I need some advice. I was looking through my local paper at the Trustee’s Sales and I noticed a house in that going up for auction after the owners defaulted on their $240,000 loan (original loan amount). I don’t know the current balance, but the loan was made in 1990. Comps for this house are currently going for around 320-350K. The problems I have are these: I am currently contracted to buy another home that is being built and I will not close on that one until sometime in January. The contracted house is to be my personal residence and I am buying it the conventional way and I am in the process of trying to scrounge up the 5% down that has to be verifiably my own money. I don’t think I would have a problem reselling the auctioned house, but I don’t know that I could close on it prior to closing on ‘my’ house and I think my lender would have a problem with that. The other problem is that I also noticed that the house that is going up for auction is currently owned by my cats’ veterinarian. I have a little bit of a moral issue with that.
I’d like to get some unbiased opinions as to whether I should pursue this further. Also, what sort of research should I do prior to deciding to bid on the house?
Thanks for your help,