Auction buys

[Rose Davis]

Hey BP! Quick question if I have a pre approval letter and want to buy a house at an auction that i know already has equity in it, is it possible to put the money down required to be in the aution and then use the pre approval letter from the bank?

[Account Closed]

@Rose Davis

There is not a good comparison between a trustee sale and aution.com.  This is because they a 2 very different things.  A trustee sale occurs when a borrow does not make their loan payments and the loan goes into default.  As a way to protect their money, the bank forces the sale of the property that was used as collateral for the loan.  In doing so the bank can get back some of the money they loaned out.  

Auction.com is a web site that lists properties that are up for auction.  Some of those homes are owned by people who just want to  sell their homes.  Some of those homes are bank owned properties.  Some of those homes are in the situation stated in the first paragraph.