I purchased a property at a tax foreclosure auction in December of 2011.
I wrote about the initial purchase here, and then followed it up about a month later with an update where I talked about the financial situation here.
I talked a bit about dealing with the former owners here, finally deciding to evict them, and then I wrote what I thought was a final update here, where I tallied up the costs.
Today I got a pretty interesting call. I could not figure out why the bank didn't pay the back taxes (about $10k) to redeem the property from the auction. I couldn't figure it out.
Turns out that the bank had turned over servicing of the mortgage of the property to a company, and it was this contracted company that probably dropped the ball, in my opinion.
So the call went something like this:
"Hi. you purchased a property at a tax auction in December of 2010, and I'm calling to inquire about the redemption figure for that property".
Ok. who are you?
"Well, I work for the servicing company, and we're interested in getting that property back and returning it to our contracted party. "
Oh. You mean that the bank that used to hold the mortgage on this property is pretty darned pissed that they lost the property, and you're interested in paying me to get it back for them?
Comparable units in this area are selling for $165k. My acquisition cost was around $103k. I've rented it for 6 months now for $1k a month.
4 days ago