Home Buying in 33629>Question Details

Court05, Home Buyer in 33629

I'm currently in a month-to-month lease and recently found out (through trulia.com) the house is in foreclosure. What are my options for buying?

Asked by Court05, 33629 Thu Mar 4, 2010

I'm currently in a mth-to-mth lease and recently found out the house is in foreclosure. He claimed to be in the process of a loan modification (The Make Home Affordable Program), which is not the case, since he does not even qualify for the program.

I would like to research and pursue other options and avoid dealing with him, if at all possible, as I do not feel like I am getting the whole truth about the situation.

I've searched court records and came across a Lies Pendens (bank 1, filed 8/31/2009) and an affidavit of complete foreclosure process (bank 2, filed 2/9/2010). I contacted the second bank and apparently they're not the first Lien on the home.

With that said, I have several questions regarding the situation:

1. What are my options for buying the house and/or negotiating at this point in the legal process?
2. At what point should I expect to receive a 90-day?
3. Who will I pay rent to during this 90-day period?

Help the community by answering this question:

Answers

4
Hello there. I would say. Its best to have a pre-approval letter prior to negotiations with the home owner or his lender. Here at http://www.westtownsavingsbank.com we offer a real-time pre-approvals using fannie-mae DU/DesktopUnderwriter along with the approval letter. Banks prefer this best.

Demetiry
National Lender
0 votes Thank Flag Link Sat Jun 1, 2013
1. As far as I know, you wouldn't get any particular advantage by occupying the property during the foreclosure process. You could purchase the home through the current owner and hope that he negotiates a short sale with his lender or if the home goes through foreclosure you could potentially purchase at auction, however you could be potentially liable for other liens on the property.
2. You'll get a notice if the property is listed for auction, time frame will vary but you would have considerable notice.
3. You should continue pay your rent to the current owner of the property. If you stop paying rent, the current owner would still have the right to evict you and that would effect your ability to purchase and rent other property.
0 votes Thank Flag Link Fri Jun 29, 2012
Why limit yourself to the place you're currently renting? You may get a better deal on another property and if you're a first time homebuyer you may be able to get a substantial IRS rebate, up to $8,000. You probably will not get the $8k if you're hoping to buy the place you're currently renting because you have to have a "binding" contract by April 30th and close no later than June 30th. Most short sales are out at this point (unless they're approved).

So find a Realtor to help you and take a look at what else it out there.

Before you start looking you'll also need a preapproval from well known lender if you want your offer taken seriously. Go to: http://www.ThirdFederal.com they are a lender with low lender related fees and low interest rates.

Good luck .
0 votes Thank Flag Link Tue Mar 9, 2010
At this point your landlord still owns the place. If you can't deal with him, then there's not much you can do. I suppose you could try and contract the first mortgage holder and let them know of your interest. However, in all candor, if this is not a significant amount of money to them, they'll probably not be interested in talking to a consumer. Questions 2 and 3 are clearly for lawyers.
0 votes Thank Flag Link Thu Mar 4, 2010
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