What happens during/after a foreclosure sale?

by **therron57** » Fri Dec 23, 2011 5:07 am

I live in Florida and I haven't been able to stop the foreclosure proceedings on my home. I've been working with a Realtor that has been working on getting me approved for the HAMP program or a possible short sale but we have one week to go and no contracts and doesn't look like the modification is going to be approved so my question is what exactly happens at the sale? From my understanding, the bank will post an opening bid. The judgement they filed against me is for $330,000. It is currently listed for $129,000 so I imagine Bank of America will post an opening bid lower than $330,000 but I can't see them going down to $129,000 (or lower) but I don't know how these work especially this day and age. Say that nobody buys it for the opening bid, then what happens? I understand that if it does sell, the new owner can begin the eviction process but curious what the bank does if it does not sell.

by **dalon** » Fri Dec 23, 2011 5:08 am

At the foreclosure sale the property would be sold to the highest bidder with the lender making the opening bid of the mortgage loan balance, plus any foreclosure cost.

If a person purchase the property the would eventually contact you about renting the place or a move out date. Failure to come an agreement on a possible move out date you could be served an eviction notice.

If the bank takes the property for lack of a sufficient bid, they would normally hire a local real estate company to act on their behalf. A real estate agent from this office would contact you about a move out date. There is a possibility that this agent might be authorize to offer you money to move if you leave the place in good condition and would not cause them to serve you with a notice followed by an eviction notice from a judge.

I hope this has been of some benefit to you, good luck.

"FIGHT ON"

by **jasper** » Fri Dec 23, 2011 5:25 am

The bank will bid the amount of the outstanding mortgage.

They will get it for that price too.

But, no matter what happens in the aution..you will be issued an eviction notice (if you haven't already), and if the bank took it for the outstanding mortgage (probably) the bank will then let the place rot.

Sorry...I have been watching the banks sit on REO property...not letting it go, not keeping them up.

If it is a HUD, then eventually HUD will take the property and offer it on the market. But, a lot of time will pass before this happens.

by **colfre** » Fri Dec 23, 2011 5:28 am

They buy it in themselves and begin the eviction process and post it with a realtor in most cases.

by **elkan80** » Fri Dec 23, 2011 5:30 am

They buy it in themselves and begin the eviction process and post it with a realtor in most cases.

The bank may give you up to 60 days notice to move after the auction has been completed, so you need to start looking for a place to live.

by **wendlesora** » Fri Dec 23, 2011 5:37 am

When a foreclosure runs to its conclusion, there are four possible outcomes. First is, the homeowner pays off the mortgage, usually through a refinance, but sometimes through cash. Secondly, The homeowner sells the property for the full amount of what’s owed on the mortgage. The home is sold at a public auction depending upon the state. Or the bank takes possession of the property. This usually happens when there are no bidders on the property at the auction, or no one bids high enough to satisfy the lender. Banks can also take possession of the property through a deed in lieu of foreclosure arrangement with the homeowner

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