how to avoid buying a 2nd lien at sheriff sale

[Scott W.]

With the MLS drying up, I am concerned investors/newbies may go to the county sheriff sale to get a deal and bid on a 2nd lien & left holding the bag. The banks/government, at least in my area, are hush-hush when it comes to announcing it at the sale (think this should be illegal but just my opinion).

I'd HATE to see anyone lose tens of thousands of dollars and cause a strain on their relationship over one mistake so that's why I'm pleading those who know how this works to chime in.

Can anyone give any input on how it should be handled? I've heard go to the county recorder's office and look for the bank name? Maybe look for corresponding loan #'s from the original 2nd lien (ie, line of credit) and the pending foreclosure sale? Ask the recorder's office clerks for assistance?

The other part that could be confusing is if you have the same bank name on the 1st & 2nd loan.

I've also heard very few of the 2nd liens go to the sheriff auction but don't want anybody to rely on that information.