Property in Foreclosure AND Estate without any Will or Living Relatives :-O

[Darrin Wesenberg]

This one is a bit complicated, and I'm wondering if anyone can provide any advice...  I located a triplex recently that not only appeared to be lived in by a hoarder, but also seemed long-abandoned.  After doing some digging through online records I discovered that the owner passed away in January 2014, but left no will, and had no spouse or living relatives.  The bank holding the mortgage began the foreclosure process against him in July 2014, not knowing of his passing.  The local probate court assigned a fiduciary attorney to handle the estate who finally declared his death in November 2014.  I immediately reached out to the fiduciary and inquired about the possibility of acquiring the property.  I figured it could be easier on all parties to avoid prolonging the process any further (foreclosure auction is scheduled for July 2015).  The outstanding mortgage debt is ~$60,000, and the fiduciary is assessed the property at $137,000 based on the county auditor's tax value.  This place will undoubtedly need some work as it's been clearly neglected, but I know it could be a heck of a deal.  When all is said and done, based on its location and potential rents this one could be a steal.

So help me out Bigger Pockets!  Has anyone been involved in a similar situation?  Probate court, foreclosures, estates, no will, no relatives, etc?  Anybody have any advice??  I am going to acquire this place one way or another!!!!!

Thanks,
Darrin 419-902-2819

[Rick H.]

I've done literally hundreds of probates in foreclosure. Pre-probates, too.

Have you thought through your ideal exit plan?

i work with a lot of professional fiduciaries and the government types, such as public admins, just want to liquidate. Probably not going to be a wholesale deal.

Otherwise, there could be a seller financing opportunity for multiple plays. 

I'd offer to buy the property for X as well deal with ALL of the problems, including the lender. Maybe you coukd buy it subject to the existing lenders loan, cure and make a friend out of the seller. 

It isn't that complicated: strike a deal, determine what title company wants and close. Your seller will need whatever documents that prove sufficient capacity, powers and authoity to pass marketable title.