How to buy a property at a Foreclosure in NJ
You may have heard from other people and most websites about getting properties for cheap 50-70-80% off at a foreclosure. You may have spent 10s of 1000s of $$ trying to find them and have no clue where to go..
Well here it is plain and simple from someone who has done it.
Fact 1. Most investors who buy at a Foreclosure will not share their secrets and most websites will take a lot of your money and just skim over the general facts.
Foreclosure is a process the banks use to dispose off a delinquent loan. The actual bidding is done at the Sheriff's office in the county where the property is located.
One of the functions of the Sheriff's Office is to conduct the sale of real property after foreclosure proceedings have been completed.
Here is the list of TOP 15 things you should know if you want to buy any property at a foreclosure.
1. Foreclosure sales are for real property only; the Sheriff's Office does not know if any structures are on the property. Further, they cannot give permission for prospective bidders to enter and inspect any structure that may be located on the property to be sold.
2. All properties sold at auction at the Sheriff's Office are advertised in major newspapers during the weekdays. Advertisements appear once a week for four consecutive weeks prior to the initial date of sale.
3. The Sheriff's Office does not have a list, for general distribution, of the properties to be sold. Persons interested in properties can make their own lists from newspaper legal advertisements.
4. Sales of property are "open-type" auction sales (no sealed bids). An opening bid of $100 is bid on the first round by the plaintiff. All subsequent bids must begin at $100 over the upset and continue at $500 increments. The property is sold to the highest bidder.
5. The successful bidder, upon full payment of the bid, will receive a Sheriff's Deed. This deed does not give clear title to the property. In order to obtain clear title, one must satisfy all outstanding liens and encumbrances. If a purchaser does not complete the sale he can be held liable for his deposit.
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