How do I find out if a property has liens or second mortgages

[Darryl Knieff]

I am new to this and my real estate lady wants to be involved, but I would like to find this information without having to pay her to do it for me. Then I am not reliant on someone else for my decision making.

[Simon Campbell]

Originally posted by @Ij O.:

@Simon Campbell , if I am going to bid for a property at an auction whether at the court house, face to face or online auctions, would I have to do this title search with a title company before I bid? If am making offer for a foreclosure through a realtor, am I responsible for the search or will the ROE realtor do all of that for me? Thanks in advance.

I highly recommend that a title search be completed BEFORE bidding on a foreclosure auction property. More often than not, auction properties will not transfer with a warranty deed. You are buying the interest that the creditor has in the property. For example, if a secondary mortgage is foreclosing but the property also has a first mortgage. The first mortgage transfers with the property and the buyer is now liable for it as well. The first mortgage has the legal right to foreclose on the property for non-payment and the buyer will probably lose the purchase price and the rights to the property. A title search will reveal this before you get in this "losing" situation.

Buying a REO foreclosure through a real estate agent is different. By this time, the property is completely free of all leins and will be sold with a Warranty Deed. The closing will be the same as a traditional property purchase which includes a title search and even title insurance depending on your state.