8 replies to this topic

[Wkelly1989]

A friend of mine has tasked me with representing them to purchase a specific property that will be coming up on the December auction at the courthouse. I'm a long time residential realtor and have been to the auction on several occasions, mainly as a spectator. I know that we will need cashiers checks in various denominations to build the price. Can someone share their experiences and order of operations to bid and buy successfully? 

 

Thanks in advance, 

[Stadtplan]

I don't have any personal experience with this, but here's some information online:

https://www.tarrantc...quent Tax Sales

 

Properties List:

https://www.tarrantc...s-listings.html

[Wkelly1989]

Thats helpful thanks Nixtope

[longhorn_1998]

The main thing to keep in mind is the vast majority of properties posted for sale do not actually go to sale.

So, you could wind up doing all the work and preparation for nothing, if it gets pulled.

[Shanedallas76]

The main thing to keep in mind is the vast majority of properties posted for sale do not actually go to sale.

So, you could wind up doing all the work and preparation for nothing, if it gets pulled.

 

What are some of the primary reasons for these properties getting pulled?

[JBB]

I would assume it's payment being made or a settlement being reached.

[Stadtplan]

I would assume it's payment being made or a settlement being reached.

 

There was a property I was tracking and wondering "what's going to happen with this place?" and from talking to contractors looking at it, appeared something legally happened where the court got involved and enlisted a third party real estate agent to manage the renovation of the property up to the point of making it "sale ready" (she was the listing agent too of course).  The first round of bidders / contractors told me they didn't know all the details but that they were sort of getting it up to code even though it wasn't like a complete disaster just probably needed a little TLC in a few areas.  The actual contractors doing the work who were friends of the agent, told me the agent had a fairly limited budget ($30K) when I kept asking "what about this? what about that?" and then it sat for sale for nearly six months after they finished their part.  Now another investor bought it and started doing more work.  Last time I checked the county records, to my surprise the original guy that owned it for 20 years was still listed as the owner.  It makes me wonder if the court gets involved with certain settlements leaving the deed titled in the owners name up until the point where it is more favorably saleable rather than dumping it on the lap of the Constable to sell on the courthouse steps for way less meaning the litigation would settle for less?  I just don't know why you'd want the risk and the headache unless they made it worth the agents time and energy.  This is something I have no experience with so I'm hoping someone else might know of these other processes and interventions by the legal system.  Correct me if I'm wrong, but with vehicles, can't a licensed auto dealer essentially just hold a title in transfer up until the sale of the vehicle so that they're not having to process an actual transfer or ownership?  Maybe the agent was able to fix some things and draw her repair costs out of a civil litigation without having to have the county sell the property outright where essentially they are first in line to receive liquidation and then the lien holder(s).  I could have sworn this guy that owned it forever outright but did not check if there were back taxes probably until after all this went down.  I would be curious why or how the court took control of the property.  In most cases where a flipper buys a property, there's usually a pretty clear transfer of ownership even if it is just for six months.

[longhorn_1998]

The main thing to keep in mind is the vast majority of properties posted for sale do not actually go to sale.

So, you could wind up doing all the work and preparation for nothing, if it gets pulled.

 
What are some of the primary reasons for these properties getting pulled?

1. The borrower files for bankruptcy. That puts an automatic stay on any foreclosure efforts.

2. As mentioned above, the borrower may have come up with the money or entered into some sort of loan modification.

3. The lender or their attorney discovers a legal issue that makes an auction invalid (e.g., someone wasn't properly notified).

4. The borrower has entered into an agreement to sell the property to someone else.

[Stadtplan]

In Texas, there are deferment provisions in place for homeowners who are over the age of 65 or that have a disability preventing government seizure of property due to delinquent tax bills.

https://www.superlaw...taxes-in-texas/