The owner of this property has been served a Notice of Trustee Sale

[Phil Strickland]

Hey BP!  Quick question - I have a friend going through a divorce and their home is scheduled to be sold at a foreclosure auction.  If the numbers make sense, can I step in with an investor and take over the property to fix and flip? Or is it too late for that?

I'm brand new to foreclosing but the conversation came up and I'm wondering if it's an opportunity to help them sell the home and for me to turn it into an investment.

Thanks for any and all feedback!

Phil

[Bill Gulley]

Can you pay off the loan? At this point, 30 days away, notice has been given, title work has been done for other notices, the trustee will have fees, so they may not be getting what they think they are, you need to get a payoff.

I'm saying this ONLY BECAUSE you know these people with a personal relationship. You still need to be careful not giving the lender the idea you're getting involved as a RE investor, but if it's listed, continue.

If it's a small local lender they may allow you to catch up payments, a large one that will be more corporate, probably won't, either may consider a short sale, but it's getting late.

You don't want to do anything to encumber this property at this point, like a construction contract for repairs, too late so don't go there.

Work on getting a loan, hard money or what ever to pay it off, that's your best chance.

However, doesn't sound like a deal unless your rehab can force appreciation, they'd get nothing, 15K is slim buying, fixing, holding and selling again, you'd really need to add value for more. :)