Foreclosures Help Information

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Tax Foreclosure Homes List

Question: Foreclosure homes are cheap at they said???

Hi, I was looking at yahoo for some houses in my state, so I found some information about REO homes, but for example, there are many prices, are prices listed there from $3,000 to 3,000,000 so, cause I don't know how this works, I wonder if a REO home said that the price is $5,000, that is the real sale price?? that is the only price that I need to pay for the house??? or there is the basic price or what??? Do I need to pay something else (besides insurance and taxes????) I 'm very confused.

Thanks.

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Answer: First of all if you are looking at HUD homes (foreclosed FHA homes) you can only buy them threw a Realtor. HUD does not sell homes directly to the public.

Now for a little education on Foreclosures. Before they go for sale on the open market they have to be sold at a local Sheriff sale. This is the process the mortgage company takes possession of the home for non payment. The really good deals usually don't make it past the sheriff sales. Remember, just because something is really cheep does not mean it is a good deal. Location, Location, Location makes a good deal if the price is right.

I can make this really easy for you. Get yourself a Realtor that you are comfortable with and stick with them. They are educated, licensed and insured to assist you and they are absolutely free to you. A good Realtor can answer or get the answer to any of your questions. Just remember not to get on realtors black list by jumping from one to the other. They only get paid when you go to a closing and the word gets out when you work with more than one realtor at a time.

If you would like a referral free of charge to a good Realtor in your area please feel free to contact me.

You could also go to Realtor.com and take your chances of finding one on your own.

Good luck,

TAX FORECLOSURE Homes List

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Foreclosure Law Alabama

The state of Alabama allows for both judicial or in-court and non-judicial or out of court foreclosures.  As with all states where both choices are available to the lender, the determining factor as to which process will be followed, is the power of sale clause.  If the mortgage or deed of trust contains a power of sale clause, this allows the bank to skip over the step of obtaining the courts permission to foreclose.  This of course saves the bank both time and money.  Since it is in the banks best interest to spend less and move more quickly to the sale of the home, out of court foreclosure will be used whenever it is allowed.

The only situation in which judicial foreclosure would be used is when the bank cannot foreclose any other way.  When no power of sale clause exists in the mortgage or deed of trust, then the bank must use the court system to move ahead towards the sale of the house.

To foreclose through the court system, the bank must file a law suit against the homeowner who is having trouble keeping current on their house payments.  The object of this lawsuit is to have the court officially declare the homeowner in default and obtain a court order to foreclose.  Once this has been obtained by the bank’s lawyer,  the steps of moving toward the sale of the house remains the same for both in court and out of court processes. 

Sometimes the power of sale clause is so detailed in its instructions as to how the sale must be carried out, that it will state how, when and where the foreclosure sale will occur.  When this is the case, then these instructions must be followed.  Most power of sale clauses are not so complete in their instructions and the ususal method of foreclosure method of foreclosure will be followed in this state will be followed from this point on.

The notice of sale announcing the upcoming auction of the home must be run or published in a paper with circulation in the county where the home is located.  The last of these ads announcing the foreclosure sale has to be run no less than thirty days prior to the scheduled sale date.  If the property in foreclosure is located in more than one county, the ad or notice of sale must be run in all counties where it is located.  This notice of sale must include the date, and time and location of the sale.  The sale is almost always held in front of the main doors of the county courthouse in the county in which the home is located.  The notice of sale must also describe the property and the terms of the sale. 

The home will be offered to the person making the highest bid at the auction the winning bidder must be prepared to pay cash for the total amount of their offered bid price at the conclusion of the sale.

In regards to the publication of the notice of sale in a local paper, if there is no paper with general circulation in the county where the home is located, the banks lawyer must run the notice of sale in a paper with circulation in the nearest adjoining county.  This ad must be run for four consecutive weeks.

The home owner has the right to stop the foreclosure by paying off the full amount of the debt up until the day before the scheduled foreclosure sale.  Foreclosures move very quickly in this state with the average time frame being between 47 to 79 days. The right of redemption period is three hundred and sixty five days. This means that if the former homeowner wishes to regain ownership of the property they can do that for one year.  The cost of this option is what the house sold for at auction.

Integrity 1st Consulting is your Foreclosure specialist- Kathy Swift

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Integrity 1st Consulting is your Foreclosure ebook specialist- Kathy Swift

Source - Foreclosure Process in Alabama

Foreclosure Legal Resources

How To Buy Foreclosed Land

Question: Can i get your opinion on this?

My mother wants to take $30,000 and buy a foreclosed home or a moblie home already on land that is for sale, she does not want to have house payments so she wants to buy something cash. Also she has bad credit, but she is about to pay off all of her debts and she also just got a car reposessed , now if she takes the whole 30,000 and puts it on a house that will be just about all of her savings, but she still works and will be able save some money because she won't have house payments. I think she should restore her credit and continue renting something for now, and then in a year or so, she should take a portion of the 30 grand and put down on a house, not nothing to expensive, but something affordable and in that way she will still have some money in the bank, instead of putting it all on a home, and she doesnt even know if the job she is working for is going to stay open, she is very desperate to get into her own home, but doesn't know what to do, any suggestions

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Answer: I THINK Mom should pay off her debts THEN buy that mobile home.

If she wants bigger problems than she already has, she should buy the home first. As sure as I'm sitting here typing this answer, one of her creditors will find out she owns a mobile home and that creditor will come after that mobile home. THEN where will mom live?

Thanks for asking your Q! I enjoyed answering it!

VTY,
Ron Berue
Yes, that is my real last name!

Foreclosure, Short Sale, Bank Owned Property buying tips, advice