Home › Forums › Financial Markets/Economics › Investing in foreclosures
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NotCranky.
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August 14, 2008 at 12:55 AM #257025August 14, 2008 at 1:51 AM #256754
urbanrealtor
ParticipantQuestion for SDR
It is my understanding that trustee auctions require substantial deposits (like 20%) and good funds within a few days. It is also my understanding that there is no inspection or contingency period. In other words, you go to the courthouse with a cashier’s check and close within a week or so.Is this your understanding as well?
I ask because you mention a due diligence and investigation period. My understanding is that there is no such standard allowance.
If you understand differently please advise. I am curious to know if the practice on these is changing.To Bubba:
Your post does not demonstrate understanding of current practices. Very few of existing REO sales are based on default valuations.
They are typically based on current market values (not always successfully though).You have a point regarding rent though. It can serve as a semi-backstop to price declines.
August 14, 2008 at 1:51 AM #256936urbanrealtor
ParticipantQuestion for SDR
It is my understanding that trustee auctions require substantial deposits (like 20%) and good funds within a few days. It is also my understanding that there is no inspection or contingency period. In other words, you go to the courthouse with a cashier’s check and close within a week or so.Is this your understanding as well?
I ask because you mention a due diligence and investigation period. My understanding is that there is no such standard allowance.
If you understand differently please advise. I am curious to know if the practice on these is changing.To Bubba:
Your post does not demonstrate understanding of current practices. Very few of existing REO sales are based on default valuations.
They are typically based on current market values (not always successfully though).You have a point regarding rent though. It can serve as a semi-backstop to price declines.
August 14, 2008 at 1:51 AM #256940urbanrealtor
ParticipantQuestion for SDR
It is my understanding that trustee auctions require substantial deposits (like 20%) and good funds within a few days. It is also my understanding that there is no inspection or contingency period. In other words, you go to the courthouse with a cashier’s check and close within a week or so.Is this your understanding as well?
I ask because you mention a due diligence and investigation period. My understanding is that there is no such standard allowance.
If you understand differently please advise. I am curious to know if the practice on these is changing.To Bubba:
Your post does not demonstrate understanding of current practices. Very few of existing REO sales are based on default valuations.
They are typically based on current market values (not always successfully though).You have a point regarding rent though. It can serve as a semi-backstop to price declines.
August 14, 2008 at 1:51 AM #256998urbanrealtor
ParticipantQuestion for SDR
It is my understanding that trustee auctions require substantial deposits (like 20%) and good funds within a few days. It is also my understanding that there is no inspection or contingency period. In other words, you go to the courthouse with a cashier’s check and close within a week or so.Is this your understanding as well?
I ask because you mention a due diligence and investigation period. My understanding is that there is no such standard allowance.
If you understand differently please advise. I am curious to know if the practice on these is changing.To Bubba:
Your post does not demonstrate understanding of current practices. Very few of existing REO sales are based on default valuations.
They are typically based on current market values (not always successfully though).You have a point regarding rent though. It can serve as a semi-backstop to price declines.
August 14, 2008 at 1:51 AM #257045urbanrealtor
ParticipantQuestion for SDR
It is my understanding that trustee auctions require substantial deposits (like 20%) and good funds within a few days. It is also my understanding that there is no inspection or contingency period. In other words, you go to the courthouse with a cashier’s check and close within a week or so.Is this your understanding as well?
I ask because you mention a due diligence and investigation period. My understanding is that there is no such standard allowance.
If you understand differently please advise. I am curious to know if the practice on these is changing.To Bubba:
Your post does not demonstrate understanding of current practices. Very few of existing REO sales are based on default valuations.
They are typically based on current market values (not always successfully though).You have a point regarding rent though. It can serve as a semi-backstop to price declines.
August 14, 2008 at 8:50 AM #256779(former)FormerSanDiegan
ParticipantThe equation of rent vs. buy will be forever changed to favor renting.
Thanks for the wisdom Bubba. I can’t wait until I start seeing statements like this in the MSM or hearing it from my non-RE-obsessed friends. That’s when it will be time to buy.
August 14, 2008 at 8:50 AM #256961(former)FormerSanDiegan
ParticipantThe equation of rent vs. buy will be forever changed to favor renting.
Thanks for the wisdom Bubba. I can’t wait until I start seeing statements like this in the MSM or hearing it from my non-RE-obsessed friends. That’s when it will be time to buy.
August 14, 2008 at 8:50 AM #256965(former)FormerSanDiegan
ParticipantThe equation of rent vs. buy will be forever changed to favor renting.
Thanks for the wisdom Bubba. I can’t wait until I start seeing statements like this in the MSM or hearing it from my non-RE-obsessed friends. That’s when it will be time to buy.
August 14, 2008 at 8:50 AM #257023(former)FormerSanDiegan
ParticipantThe equation of rent vs. buy will be forever changed to favor renting.
Thanks for the wisdom Bubba. I can’t wait until I start seeing statements like this in the MSM or hearing it from my non-RE-obsessed friends. That’s when it will be time to buy.
August 14, 2008 at 8:50 AM #257070(former)FormerSanDiegan
ParticipantThe equation of rent vs. buy will be forever changed to favor renting.
Thanks for the wisdom Bubba. I can’t wait until I start seeing statements like this in the MSM or hearing it from my non-RE-obsessed friends. That’s when it will be time to buy.
August 14, 2008 at 9:10 AM #256795SD Realtor
ParticipantUR to me due diligence and contingency periods are independent events. A contingency period is an amount of time you have that starts at acceptance and ends at some point after acceptance. A due diligence process is a process you the buyer goes through to find out information about a home you want to buy. A due diligence process does not need have a necessary start time or even an end time for that matter. Obviously it is bounded in some manner by the contingency period and your liability as a buyer increases substantially (ie the cost of the home in the case of a trustee sale) by not completing due diligence prior to contingency periods ending.
Abstract it out. You can perform due diligence anytime if you like, even BEFORE the purchase of a home which is strongly advised in a case of a trustee sale.
Yes as far as I know trustee sales are all cash. I believe my post stated contingency = 0 for trustee sales, and I was trying to imply that the due diligence process may be started early (prior to the auction) for trustee sales by trying to knock on the door to get in.
August 14, 2008 at 9:10 AM #256976SD Realtor
ParticipantUR to me due diligence and contingency periods are independent events. A contingency period is an amount of time you have that starts at acceptance and ends at some point after acceptance. A due diligence process is a process you the buyer goes through to find out information about a home you want to buy. A due diligence process does not need have a necessary start time or even an end time for that matter. Obviously it is bounded in some manner by the contingency period and your liability as a buyer increases substantially (ie the cost of the home in the case of a trustee sale) by not completing due diligence prior to contingency periods ending.
Abstract it out. You can perform due diligence anytime if you like, even BEFORE the purchase of a home which is strongly advised in a case of a trustee sale.
Yes as far as I know trustee sales are all cash. I believe my post stated contingency = 0 for trustee sales, and I was trying to imply that the due diligence process may be started early (prior to the auction) for trustee sales by trying to knock on the door to get in.
August 14, 2008 at 9:10 AM #256980SD Realtor
ParticipantUR to me due diligence and contingency periods are independent events. A contingency period is an amount of time you have that starts at acceptance and ends at some point after acceptance. A due diligence process is a process you the buyer goes through to find out information about a home you want to buy. A due diligence process does not need have a necessary start time or even an end time for that matter. Obviously it is bounded in some manner by the contingency period and your liability as a buyer increases substantially (ie the cost of the home in the case of a trustee sale) by not completing due diligence prior to contingency periods ending.
Abstract it out. You can perform due diligence anytime if you like, even BEFORE the purchase of a home which is strongly advised in a case of a trustee sale.
Yes as far as I know trustee sales are all cash. I believe my post stated contingency = 0 for trustee sales, and I was trying to imply that the due diligence process may be started early (prior to the auction) for trustee sales by trying to knock on the door to get in.
August 14, 2008 at 9:10 AM #257038SD Realtor
ParticipantUR to me due diligence and contingency periods are independent events. A contingency period is an amount of time you have that starts at acceptance and ends at some point after acceptance. A due diligence process is a process you the buyer goes through to find out information about a home you want to buy. A due diligence process does not need have a necessary start time or even an end time for that matter. Obviously it is bounded in some manner by the contingency period and your liability as a buyer increases substantially (ie the cost of the home in the case of a trustee sale) by not completing due diligence prior to contingency periods ending.
Abstract it out. You can perform due diligence anytime if you like, even BEFORE the purchase of a home which is strongly advised in a case of a trustee sale.
Yes as far as I know trustee sales are all cash. I believe my post stated contingency = 0 for trustee sales, and I was trying to imply that the due diligence process may be started early (prior to the auction) for trustee sales by trying to knock on the door to get in.
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