Buying Home Pre-Forclosure, Real Estate Attorneys Welcome

[Isaac Black]

I have an extremely interesting situation in front of me. I found a home that is pre-forclosure and set to sell at auction in 10 days. I have contacted the home owner and found that he is 6 months behind on his mortgage owing 16k in unpaid monthly mortgage costs. He has claimed that he spoke with his loan attorney and if I wanted to pay off his last 6 months that he would transfer the title of the house and mortgage to my name. He still owes around 127k on the house. Supposedly I can take over the mortgage and refinance it however I like. Is there any validity in this? This house has an ARV value of roughly 290-320k hence my great interest.

The payment would be a wired transaction where we sit down with his attorney and title company to sign rights to the home over. Given that the bank still would have an unpaid note I do not understand how this can be something that they would go for. Should I instead discuss paying him the 127k remaining + 16k in owed mortgage to total 143k? What can I possibly do?

[Bob Floss II]

@Isaac Black Put it under contract, get the payoff from the foreclosure attorney, schedule closing asap.