Properties through Sheriff Sales

[Ernesto Salgado]

Hi all. I'm looking into buying properties from sheriff sales. I KNOW... I know. But like everything else, I've heard of both positive and negative experiences about these kinds of purchases. My question is about the bidding and sale of an auction. The properties have a starting bid but it also advertises the debt amount of the property. For example, 123 Main Street starting bid is $2500, debt amount is $150,000. Do I need to be concerned about the debt amount? Thank you in advance for any assistance. 

[Chris Seveney]

@Ernesto Salgado

1. You should understand if it’s a first or second position loan that is foreclosing

2. Well if the bank is owed $150k they won’t let it go for $2500, they will bid up to what they feel value is.

As someone who invests in notes and has done fc sales, tbh people are overpaying at fc sales right now - which is good for me since I am the lender getting paid.