Buying at the courthouse steps and financing later

[moneymaker]

Yes I believe they do it that way in Arizona too. Not here though, 100% cash. It does boggle my mind that so many people have that kind of money. Then again perhaps they are business ventures. If that is the case then I suspect the ones buying properties 2-3 years ago are now bankrupt.

[sdrealtor]

Unless you plan on buying a high-end home (think auction price above 750K minimum) I personally dont beleive this is a viable strategy for 99% of the people. Even above that I dont think its viable for 90% percent. Auctions get cancelled over and over again. The waters are full of sharks with more cash, experience and information than the layperson. The pitfalls are potentially huge.

The professional investors go everyday and buy the best deals. They dont go to buy a specific home. The average joe looking to buy a specific home faces enormous obstacles to success. The only buyer I see this as a viable strategy for is someone willing to spend about $1M or more for a house that used to be $2M+. A $2M peak priced house is going to be a great house anyway you cut it and if you can get one for 50% off you may not be so particular regarding you own preferences.

I’m not saying its impossible but rather extraordinarily unlikely to be truly successful for the average homebuyer.

[sdrealtor]

Unless you plan on buying a high-end home (think auction price above 750K minimum) I personally dont beleive this is a viable strategy for 99% of the people. Even above that I dont think its viable for 90% percent. Auctions get cancelled over and over again. The waters are full of sharks with more cash, experience and information than the layperson. The pitfalls are potentially huge.

The professional investors go everyday and buy the best deals. They dont go to buy a specific home. The average joe looking to buy a specific home faces enormous obstacles to success. The only buyer I see this as a viable strategy for is someone willing to spend about $1M or more for a house that used to be $2M+. A $2M peak priced house is going to be a great house anyway you cut it and if you can get one for 50% off you may not be so particular regarding you own preferences.

I’m not saying its impossible but rather extraordinarily unlikely to be truly successful for the average homebuyer.

[sdrealtor]

Unless you plan on buying a high-end home (think auction price above 750K minimum) I personally dont beleive this is a viable strategy for 99% of the people. Even above that I dont think its viable for 90% percent. Auctions get cancelled over and over again. The waters are full of sharks with more cash, experience and information than the layperson. The pitfalls are potentially huge.

The professional investors go everyday and buy the best deals. They dont go to buy a specific home. The average joe looking to buy a specific home faces enormous obstacles to success. The only buyer I see this as a viable strategy for is someone willing to spend about $1M or more for a house that used to be $2M+. A $2M peak priced house is going to be a great house anyway you cut it and if you can get one for 50% off you may not be so particular regarding you own preferences.

I’m not saying its impossible but rather extraordinarily unlikely to be truly successful for the average homebuyer.

[sdrealtor]

Unless you plan on buying a high-end home (think auction price above 750K minimum) I personally dont beleive this is a viable strategy for 99% of the people. Even above that I dont think its viable for 90% percent. Auctions get cancelled over and over again. The waters are full of sharks with more cash, experience and information than the layperson. The pitfalls are potentially huge.

The professional investors go everyday and buy the best deals. They dont go to buy a specific home. The average joe looking to buy a specific home faces enormous obstacles to success. The only buyer I see this as a viable strategy for is someone willing to spend about $1M or more for a house that used to be $2M+. A $2M peak priced house is going to be a great house anyway you cut it and if you can get one for 50% off you may not be so particular regarding you own preferences.

I’m not saying its impossible but rather extraordinarily unlikely to be truly successful for the average homebuyer.

[sdrealtor]

Unless you plan on buying a high-end home (think auction price above 750K minimum) I personally dont beleive this is a viable strategy for 99% of the people. Even above that I dont think its viable for 90% percent. Auctions get cancelled over and over again. The waters are full of sharks with more cash, experience and information than the layperson. The pitfalls are potentially huge.

The professional investors go everyday and buy the best deals. They dont go to buy a specific home. The average joe looking to buy a specific home faces enormous obstacles to success. The only buyer I see this as a viable strategy for is someone willing to spend about $1M or more for a house that used to be $2M+. A $2M peak priced house is going to be a great house anyway you cut it and if you can get one for 50% off you may not be so particular regarding you own preferences.

I’m not saying its impossible but rather extraordinarily unlikely to be truly successful for the average homebuyer.

[SD Realtor]

I wont comment on other states or counties but I think here in San Diego it can be a viable alternative but only if you understand the risks.

First off it is not easy. We easily went to probably 40 auctions this year for a total of 8 properties. That doesn’t take into account the ones we didn’t go to or were on the way to but turned around because the opening bid was to high or there was some judgement we didn’t understand.

Risks include buying a home with major damage or some judgements that will not get wiped out. Other risks are irs liens but those have a right of redemption so you get your money back if the irs decides to exercise that right. Just know that in most cases you will not even get to look inside the home much less get an inspection done.

Are you willing to plunk down hundreds of thousands of dollars to buy a home without looking in it?

The catch is this. You CAN get a home and save alot of money doing it this way. Assuming you have the cash. What is more important is that you MUST do legwork. ALOT more legwork then you need to do if you buy a home in the conventional manner. The flippers at auction will beg off bidding if the bid gets to a point where the margin is gone.

Finally you cant buy and then refinance. You will need to season the home for 6 months. In that time you are at the mercy of the bond market. How much cash you can pull out will depend on what your home appraises at.

All this can be done. Is it easy? Nope it is harder then most people think, but you can save alot.

[SD Realtor]

I wont comment on other states or counties but I think here in San Diego it can be a viable alternative but only if you understand the risks.

First off it is not easy. We easily went to probably 40 auctions this year for a total of 8 properties. That doesn’t take into account the ones we didn’t go to or were on the way to but turned around because the opening bid was to high or there was some judgement we didn’t understand.

Risks include buying a home with major damage or some judgements that will not get wiped out. Other risks are irs liens but those have a right of redemption so you get your money back if the irs decides to exercise that right. Just know that in most cases you will not even get to look inside the home much less get an inspection done.

Are you willing to plunk down hundreds of thousands of dollars to buy a home without looking in it?

The catch is this. You CAN get a home and save alot of money doing it this way. Assuming you have the cash. What is more important is that you MUST do legwork. ALOT more legwork then you need to do if you buy a home in the conventional manner. The flippers at auction will beg off bidding if the bid gets to a point where the margin is gone.

Finally you cant buy and then refinance. You will need to season the home for 6 months. In that time you are at the mercy of the bond market. How much cash you can pull out will depend on what your home appraises at.

All this can be done. Is it easy? Nope it is harder then most people think, but you can save alot.

[SD Realtor]

I wont comment on other states or counties but I think here in San Diego it can be a viable alternative but only if you understand the risks.

First off it is not easy. We easily went to probably 40 auctions this year for a total of 8 properties. That doesn’t take into account the ones we didn’t go to or were on the way to but turned around because the opening bid was to high or there was some judgement we didn’t understand.

Risks include buying a home with major damage or some judgements that will not get wiped out. Other risks are irs liens but those have a right of redemption so you get your money back if the irs decides to exercise that right. Just know that in most cases you will not even get to look inside the home much less get an inspection done.

Are you willing to plunk down hundreds of thousands of dollars to buy a home without looking in it?

The catch is this. You CAN get a home and save alot of money doing it this way. Assuming you have the cash. What is more important is that you MUST do legwork. ALOT more legwork then you need to do if you buy a home in the conventional manner. The flippers at auction will beg off bidding if the bid gets to a point where the margin is gone.

Finally you cant buy and then refinance. You will need to season the home for 6 months. In that time you are at the mercy of the bond market. How much cash you can pull out will depend on what your home appraises at.

All this can be done. Is it easy? Nope it is harder then most people think, but you can save alot.

[SD Realtor]

I wont comment on other states or counties but I think here in San Diego it can be a viable alternative but only if you understand the risks.

First off it is not easy. We easily went to probably 40 auctions this year for a total of 8 properties. That doesn’t take into account the ones we didn’t go to or were on the way to but turned around because the opening bid was to high or there was some judgement we didn’t understand.

Risks include buying a home with major damage or some judgements that will not get wiped out. Other risks are irs liens but those have a right of redemption so you get your money back if the irs decides to exercise that right. Just know that in most cases you will not even get to look inside the home much less get an inspection done.

Are you willing to plunk down hundreds of thousands of dollars to buy a home without looking in it?

The catch is this. You CAN get a home and save alot of money doing it this way. Assuming you have the cash. What is more important is that you MUST do legwork. ALOT more legwork then you need to do if you buy a home in the conventional manner. The flippers at auction will beg off bidding if the bid gets to a point where the margin is gone.

Finally you cant buy and then refinance. You will need to season the home for 6 months. In that time you are at the mercy of the bond market. How much cash you can pull out will depend on what your home appraises at.

All this can be done. Is it easy? Nope it is harder then most people think, but you can save alot.

[SD Realtor]

I wont comment on other states or counties but I think here in San Diego it can be a viable alternative but only if you understand the risks.

First off it is not easy. We easily went to probably 40 auctions this year for a total of 8 properties. That doesn’t take into account the ones we didn’t go to or were on the way to but turned around because the opening bid was to high or there was some judgement we didn’t understand.

Risks include buying a home with major damage or some judgements that will not get wiped out. Other risks are irs liens but those have a right of redemption so you get your money back if the irs decides to exercise that right. Just know that in most cases you will not even get to look inside the home much less get an inspection done.

Are you willing to plunk down hundreds of thousands of dollars to buy a home without looking in it?

The catch is this. You CAN get a home and save alot of money doing it this way. Assuming you have the cash. What is more important is that you MUST do legwork. ALOT more legwork then you need to do if you buy a home in the conventional manner. The flippers at auction will beg off bidding if the bid gets to a point where the margin is gone.

Finally you cant buy and then refinance. You will need to season the home for 6 months. In that time you are at the mercy of the bond market. How much cash you can pull out will depend on what your home appraises at.

All this can be done. Is it easy? Nope it is harder then most people think, but you can save alot.

[sdrealtor]

Your stats pretty much say it all. Went to 40 auctions looking to buy anything that made sense and bought a total of 8 properties. I’m guessing most of those were low end condos. So all told you ended up getting a couple decent/nice SFR after going to 40 auctions and you werent looking to buy specific properties. That exactly is my point.

Can it be done? Absolutely it can. Is it likely to work? Highly unlikely.

[sdrealtor]

Your stats pretty much say it all. Went to 40 auctions looking to buy anything that made sense and bought a total of 8 properties. I’m guessing most of those were low end condos. So all told you ended up getting a couple decent/nice SFR after going to 40 auctions and you werent looking to buy specific properties. That exactly is my point.

Can it be done? Absolutely it can. Is it likely to work? Highly unlikely.

[sdrealtor]

Your stats pretty much say it all. Went to 40 auctions looking to buy anything that made sense and bought a total of 8 properties. I’m guessing most of those were low end condos. So all told you ended up getting a couple decent/nice SFR after going to 40 auctions and you werent looking to buy specific properties. That exactly is my point.

Can it be done? Absolutely it can. Is it likely to work? Highly unlikely.

[sdrealtor]

Your stats pretty much say it all. Went to 40 auctions looking to buy anything that made sense and bought a total of 8 properties. I’m guessing most of those were low end condos. So all told you ended up getting a couple decent/nice SFR after going to 40 auctions and you werent looking to buy specific properties. That exactly is my point.

Can it be done? Absolutely it can. Is it likely to work? Highly unlikely.

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