My friends in Texas, came into a deal of a lifetime. 20 acres in the hill country with new doublewide for less than 5k an acre The Property is very close to Travis Lake and the same land is going for much more. Anyway They could not afford to keep their house in the City roughly 150k with high taxes( and very little equity). They tried renting and selling their city house with little luck, so they ended up foreclosing. I think they could of unloaded by Auction instead and maybe come out of it what do you think?
2007-05-14 10:56:00 · 2 answers · asked by Anonymous in Business & Finance ➔ Investing
It would depend on what the payoff was vs. what the auction would bring. If the auction brought enough to payoff the mortgage than that would be the way to go. If it didn't then a Short Sale could have been tried.
Here is some information on a Short Sale:
http://www.afscanhelp.com/short.cfm
2007-05-15 03:11:42 · answer #1 · answered by Darin Frantz 2 · 0⤊ 0⤋
Auctions are risky. Properties are almost always sold at less than market value. Besides possibly losing money on the sale, the seller has to pay a commission to the auctioneer. The seller can stipulate a minimum acceptable bid. If no minimum bid is received, the seller still has to pay the commission.
2007-05-14 18:01:44 · answer #2 · answered by regerugged 7 · 0⤊ 0⤋