Pre Auction Stratagy

thanks for sharing Coach!

Do you normally go in person to get the list or do you just call the County Office and they mail the list to you?

Honestly I usually get it online through the county treasures office for a list of properties going to their next upcoming auction.
Depends on the county if it would be available online or not. It's worth calling the county if you cant find it online.

Hi Coach Harold,
Are there any other fees associated with purchasing a tax property such as title searches, insurance, etc? Or do you just pay the amount owed in taxes and it would be up to you to let the owner(s) stay or evict them? Thank you in advance for your input. I greatly appreciate your knowledge as well as as the other coaches and DGers...Laura

Thanks for sharing this strategy, I will be doing this tomorrow.

What does owner get if his mortgage loan balance is greater than your offering price?

Usually, mortgage company/bank pays for the delinquent tax by creating the escrow account for the property owner/loan account before it's too late so the bank wouldn't lose the property to the county.

Does it mean that we have to look for the tax delinquent property that has been paid off?

There will be some additional costs if you choose to get those things. You dont have to but it would be a good idea.
so you will have to pay for the property at the auction then you will pay for insurance and getting a deed to the property.
you wont have to pay for an eviction unless they are still in the property but the county should have already done that. So it might just be getting squatters off the property.

the mortgage company should have been getting notices as well about the property being delinquent. So they would have stopped it from going to the sale if they cared. If they dont stop the sale the mortgage lien will get wiped off the property.
majority of properties that go to a tax sale either dont have a mortgage or the lender does not care about the property at this point. Maybe not a lot of money owed anymore or the bank is not around anymore.

if you buy the property at auctions the liens should get wiped out.

Hope that helps

Thanks for the sharing.

Happy to share
This can be a pretty good niche out there
JohnF just shared a tax sale calender in a post in tax sales
that way you can when states have their sales and go after their upcoming auction lists in going after this pre auction strategy
feel free to continue asking questions

Bringing this topic to the forefront again. Hopefully, you can shed some light on my situation.

I came across a property which is a vacant wood shingle , two story home that has obviously been abandoned. My property search has revealed that the husband and wife owners died in 2004 and 2011, respectively. Based on a Google map search the pics on google from 2009 through 2012 the property was vacated even before then. The entire house requires a total rehab. Just recently an auction sign has been posted and scheduled for some time on October 2014.

During research I also discovered that the property taxes have been paid and up-to-date through June 30, 2014. The land records show that the mortgage was paid in full and have a copy of the certificate of satisfaction in 2007.

I am considering an attempt to track down the children of the deceased owners to determine if they have knowledge of the scheduled auction and try to get control of the property before the auction. But I have questions if this would be a good potential wholesale property.

I can see that the taxes have been paid but can't determine who has been paying those taxes. Since there are no unpaid taxes am I right to assume that the state/county took control of the ugly vacant property as it has been abandoned? Does the state do that? Can the deceased's children claim ownership of the property as the heirs prior to the scheduled auction?

Is an abandoned property handled the same way as a tax lien? Since payment of taxes are up-to-date couldn't the children just file to claim the property? Where do I go from here?

Thanks

Sounds like they may have died without a will or any heirs and the county is auctioning off the property. Property taxes may have been paid by other assets of the estate. Finding out more about the auction will give you some insight to the situation. If the county is auctioning it off to settle the estate, the property is up for grabs at the auction.
http://baumlawoffices.com/die-without-will-maryland/

Most states offer homeowners a redemption period after a tax sale. This means that the buyer cannot take legal possession of the home until the redemption period expires. It also means that you cannot resell it.

The thing here is that most owners will redeem the property, but they will have to pay you exactly what you paid plus at a hefty interest rate. This can make tax foreclosures similar to short-term bond investments but with a much nicer return.