Beneficiary bid on foreclosure sale

[Khoa Ha]

Hi BP,

I recently went to a foreclosure sale and witnessed a beneficiary put a bid way above the starting price. I do not have a lot more information about this. Just wondering what could this possibly mean. Sorry for the vague question.

KH

[Percy N.]

@Khoa Hajust make sure you do a proper title search on the property and know what liens might exist.

In one instance, I actually won the auction (had done a preliminary title search) only to find out that the title was clouded by the previous owner and the current owner had liens from the IRS and was a little crazy and had tried to set fire to the property. Decided to pass on it and let the $12k deposit go.

Auctions are not for the faint hearted (not saying that you are), so go in eyes wide open.