Home Buying in 55343>Question Details

Lookingfor6, Other/Just Looking in Minnesota

Does the local courthouse show all unsatisfied mortgages, lines of credit, etc. attached to a home? Or could there be other debt that's not

Asked by Lookingfor6, Minnesota Mon Mar 19, 2012

public? Sellers of a home we're interested in are saying their "short sale point" is much higher than what the courthouse shows as unsatisfied.

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6
The title company and title search is the best way to find out the title history of the property you are interested in. When the title company ask you if you want an owners policy I would recommend that you say yes. This insurance will cover you should any interest in the property was not discovered in the title search. It will be up to the title company and their attorneys to clear title.
0 votes Thank Flag Link Thu Jan 23, 2014
I want to echo Chris' response below. You would want a professional to run a title search for you and see what liens are attached to the property. You should also check the County's property tax records to make sure there are not any outstanding unpaid assessments or assessments pending. A good title company is your best bet.
0 votes Thank Flag Link Wed Dec 19, 2012
Best advice when working with any short sale or foreclosure as a BUYER, is to work with an experienced agent in short sales etc. Don't be afraid to ask your Realtor the hard questions. How many short sales and
REO's have they been involved in? One or two won't cut it. This is an art. Do they do their own work or do they have an experienced TEAM that negotiate their short sales? It's like the analogy of using a GP to do major surgery.
0 votes Thank Flag Link Wed Mar 21, 2012
The court house doesn’t show a balance, it only shows the original lien amount. Accrued interest could be a ton if the seller hasn’t made a payment in years.
0 votes Thank Flag Link Tue Mar 20, 2012
I agree with Christopher. There are other costs than just the remainder of the mortgage. And, I'm wondering if there's a 2nd or 3rd that hasn't been recorded? That can happen.

I would have your agent check in to this with the seller's agent if there is something at issue.

Good luck!
0 votes Thank Flag Link Tue Mar 20, 2012
You must be an investor? Anything that is recorded obviously is down at the courthouse, but it is more efficient for me to have my title company run a pre-lim search. Saves me time since they do it for free.

Are you including the transaction costs of selling? Could be why the SS point is higher than the unsatisfied mortgage. Also, if the sheriff sale happened the bid amount is usually different than the mortgage amount.

You might want a facilitator in this transaction. Banks usually like to see homes marketed on the MLS, and quite frankly this is a very challenging transaction unless you specialize in short sales and foreclosures.

Hit me up if you are interested, otherwise good luck!


~Chris
0 votes Thank Flag Link Tue Mar 20, 2012
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