(This is Part 2 of a three-part series. Read Part 1 and Part 3.) PROFIT OPPORTUNITY #2 -- BUY FOR CASH AT THE FORECLOSURE SALE. If the house isn't sold or refinanced during the pre-foreclosure reinstatement period, it will go to either a court judicial sale or a non-judicial trustee's sale. This can be a superb profit opportunity to buy at the foreclosure auction to wipe out the junior loans and liens (except IRS liens). However, if there are unpaid property taxes, they are never wiped out. Purchase Bob Bruss reports online. EXAMPLE: Suppose you are considering buying a house worth $350,000. It has a $150,000 defaulted first mortgage, which is going to foreclosure sale; a $50,000 second mortgage; a $35,000 mechanics' lien; and unpaid property taxes of $3,000. The lender's opening bid...
Get Inman via Facebook Messenger
Our top headlines delivered once a day.