Mary,
Foreclosure properties have really become an important component of our local market - which leaves consumers like you with many questions. The foreclosure process is a very complicated one and the answers can vary depending on whether it is still in a short sale or proceeded through the foreclosure process. Any existing liens should be financially covered by the seller and as a buyer you will likely purchase title insurance to confirm that you have been given a property that is free from liens.

Three of the most helpful partners in the foreclosure process are a reputable local Realtor, real estate attorney and title company. Also, many local government websites are available to help you see where the property stands in the foreclosure process. Please feel free to contact me for assistance in any of these areas.

Typically the proceeds from the sheriffs sale will be applied toward any known liens (such as for utilities, maintenance, and taxes). However there is no guarantee that all will be paid and the new owner may end up with them. Consult an Attorney if you are unsure.

The first mortgage holder pretty much is the only one who gets paid in a foreclosure and then they do not get all their money back, usually. The rest may go after the homeowner but usually do not make the effort and write it off. Hope that helps.