Mortgage Sale - What to expect?

[fumbrunner]

I will be participating at an auction shortly for a mortgage sale of a property. Does anyone have any experiences with these types of auctions? Are there things that I should be aware of going in? I have checked on outstanding bills and taxes. I do know that the property is owner occupied and I would be responsible for eviction. Does anyone know what the process would entail?

Thanks.

 

[Thomas Beyer]

QUOTE (fumbrunner @ Jan 19 2010, 08:24 AM) I will be participating at an auction shortly for a mortgage sale of a property. Does anyone have any experiences with these types of auctions? Are there things that I should be aware of going in? I have checked on outstanding bills and taxes. I do know that the property is owner occupied and I would be responsible for eviction. Does anyone know what the process would entail?

Thanks.
what province or state ?

what is the approx. house value ?

What is the rent in that area ?

flip or long term hold ?

condition of property: ugly, average, pristine ?

Don;t get caught in auction fever and overpay as it is sold "as is" and thus you have to allow for surprises !!

 

[fumbrunner]

QUOTE (ThomasBeyer @ Jan 19 2010, 03:20 PM) what province or state ?

what is the approx. house value ?

What is the rent in that area ?

flip or long term hold ?

condition of property: ugly, average, pristine ?

Don;t get caught in auction fever and overpay as it is sold "as is" and thus you have to allow for surprises !!
The property is in Manitoba.  It will be a flip.  Have comps from my realtor, so I know what I want to pay.  Because its owner occupied we are unable to see the condition and we`ve worked that into what we would like to pay.  I am a little worried about being responsible for the owner`s removal.  Just wondering if people have had such experiences.

 

[jcab256]

QUOTE (fumbrunner @ Jan 19 2010, 06:51 PM) I am a little worried about being responsible for the owner`s removal.

Once you own the property, I believe it should be the same process as evicting a tenant.

I think they will have the rights of a tenant, even though they aren`t really a tenant, but don`t quote me on that. I would call the RTB and confirm.

 

[jcab256]

So? how did the auction go? if it is the one I think it was, I believe it occured already...

 

[fumbrunner]

QUOTE (jcab256 @ Jan 26 2010, 02:28 PM) So? how did the auction go? if it is the one I think it was, I believe it occured already...


Sold for about 10% more than I wanted to pay. Oh well, off to my next adventure!

 

[jcab256]

QUOTE (fumbrunner @ Jan 26 2010, 03:42 PM) Sold for about 10% more than I wanted to pay. Oh well, off to my next adventure!


That`s too bad. I was wanting to attend and bid myself, but decided that financially I couldn`t do it becuase of the reno`s I will be starting on a new rental property in a few weeks. I was kind of hoping you`d get it.

 

[fumbrunner]

QUOTE (jcab256 @ Jan 27 2010, 10:22 AM) That`s too bad. I was wanting to attend and bid myself, but decided that financially I couldn`t do it becuase of the reno`s I will be starting on a new rental property in a few weeks. I was kind of hoping you`d get it.

I`m in the same boat actually. Just bought a duplex on Poplar that is half renovated (one of the two suites) and I`ll be starting the rest of the renos next week. But I can`t turn down a good deal. If the mortgage sale was going to be a bargain, I would have picked it up. It was in a pretty desireable area and could have easily been flipped at the right price. Two people got into a bit of a bidding war over it. Not a bad price if the winning bidder will be living there. But if they are looking to flip, there won`t be much profit to be made.

 

[jcab256]

QUOTE (fumbrunner @ Jan 27 2010, 10:47 AM) I`m in the same boat actually. Just bought a duplex on Poplar that is half renovated (one of the two suites) and I`ll be starting the rest of the renos next week. But I can`t turn down a good deal. If the mortgage sale was going to be a bargain, I would have picked it up. It was in a pretty desireable area and could have easily been flipped at the right price. Two people got into a bit of a bidding war over it. Not a bad price if the winning bidder will be living there. But if they are looking to flip, there won`t be much profit to be made.

Hey, I have a quick question for you, what kind of rents are you curently getting from this property for how many bedrooms? (assuming the reno`d side is currently rented). The new property I bought is further east, from this, buit I am curious from a rough comparable stand point.

If you`d rather discuss offline, email me at:
jcab256 [at] gmail [dot] com

Or, I can send you an email as I think I have your address from a while back.