They are forelclosing on the home that i rent. What are my options?

Question

I have considered buying the home. Do i need to contact the landlord or the morgage company that is foreclosing? And what are the chances of getting a good deal? or is it just a waste of my time and i need to start packing?

Answer 1

I deal with foreclosures and here are your options:
1. move
2. try to locate the owner and see if he wants to sell the place. If it has equity, then it's a normal sale. If it has no equity, then you can short sale it. The chances of getting a good deal are very high at this time.
3. Talk to the foreclosing lender and see if you can buy the note and continue with the foreclosure process. This will be hard since the lender will not divulge any info to you without the owner's (the person on the loan) permission so you need to do your homework.
4. buy the house at auction or sherrif's sale (depending on your state).
5. Buy the house from the foreclosing lender (assuming it didn't get sold at auction)

The foreclosure process wipes out all junior liens, which means that the foreclosing lender will not honor your lease and you will be evicted (or bribed to leave).

Regards

Answer 2

Send me an email if you're interested in buying the house. I can get you pre-qualified so that you know what the costs are and what your monthly payments would be to own the home.

Just find out how much the owner is "wanting" for the house and after the quick pre-qualification you'll be able to tell him what you're willing to buy the house for.

This will give you some great buying power especially since you know they are in a little bit of a bind.

Answer 3

Well, if you have a lease instead of month-to-month, the lender who forecloses must honor your lease, or ask you to leave willingly, or offer you cash to buy out your lease (it happens....lenders don't want renters...they want the property sold) If you are month-to-month, they need to give you the appropriate 30 days notice to leave.

Whether or not you get a good deal will depend on the property, how much is owed on it vs market value, and how easy it will be to sell.

Feel free to contact the lender's REO department if you know how to get to them, and tell them of your interest. They may well be willing to talk.

Answer 4

You need the advise of a real estate professional in your state. They can then contact the lender to see what can be worked out. Please don't try this one alone!