Buying at Courthouse

[Andy More]

I just noticed there is a duplex going up for foreclosure auction in a few weeks. This property is in a neighborhood that I am very familiar with. I know the market rents and I know exactly what this property will sell for in the open market in good condition.

I've never purchased at the courthouse before. What are the pittfalls of buying foreclosures on the courthouse steps besides the fact that I wont be able to have a building inspection done? I dont want to wait to buy as an REO because it seems those are attracting lots of offers thus eliminate my chance at profit.

Here's what I would like to accomplish

100k purchase price at auction

15k in improvements(im probably overestimating)

sell for 135k without realtor

property will generate some rent to offset taxes, insurance, utilities etc...

=20k gross profit to me

I would be paying cash for the property and financing improvements with cash.

Thoughts?