Former Owner Occupies Foreclosed Property

[Dave Anstatt]

Hi all, I've negotiated a deal through a third party to purchase a property that has been foreclosed upon by the tax lien holder. The Union County tax records show the deed was transferred in June 2014 to my Seller. It is now more than 90 days from that date. I do not believe there is any chance of redemption at this point but I'm told there is a slight chance a court could reverse the transfer (sale) under certain conditions. Not sure what they would be (?). Has anyone had experience with this in the NJ court system. As I understand it, in NJ, the property owner has 2 years to pay back the tax lien before foreclosure can start. Then there's time during the foreclosure process to pay it back. I really feel the former owners have had plenty of opportunity to pay back the taxes owed if they wanted or were able to. My concern is that they are presently occupying the property. Does that in itself pose any greater risk of redemption?

Obviously I'd like the place unoccupied when I close, but the deal wouldn't be as sweet as it is if that were the case. I'm told there are a number of interested parties ready to buy, if and when that's the case. The present owner has recently filed for a writ of possession. I'm not too familiar with the foreclosure process and rights of the former owner/occupants. It appears to be a well kept property with a good spread for a flip, but the last thing I want to do is tie my money up for many months until the "eviction" works through the courts.

So, my questions are:

1, What if any, possibility is there of the former owners getting judgement in their favor, if at this late stage of the game they come up with money and claim some hardship/right to property?

2. If I close and take over the writ of possession/eviction process how long might I have to wait before they are removed by the sheriff? I realize this is dependent on workloads, but has anyone had experience with this in Union County recently.

Thanks