Purchasing a nonconforming 2nd mortgage-Florida

[Ramy G.]

Hello Guys,

I have a home I picked up at an HOA foreclosure that has both a 1st and 2nd mortgage. The 1st lien holder has yet to initiate any action as of yet. However the 2nd lien holder has initiated foreclosure. I would assume he's racing against the clock to foreclose before the 1st mortgage does because he will be wiped out as there wont be any equity left after the sale.

The second lender appears to be an individual not a company. I want to approach him and buy the note off him. If I can acquire the note at a fair price. I could then dismiss the case and sit and wait until the first lien holder files foreclosure at which point I would defend the case and possibly negotiate a pay off.

I have extensive experience in real estate, tax deed sales, foreclosures etc. However I never purchased a note and not exactly sure what it entails. Does he basically file an assignment of the promissory note and mortgage? Other then insuring I get all the original documents is there anything else I need? Should I hire an attorney to draft everything up? I have an idea of what I am willing to pay and I know what angle I want to take in approaching him. The fact is if the 1st mortgage files for foreclosure before his sale date then he can forget about recouping much of anything however if the 1st lender is still sitting then he may get a little something from investors bidding. 

Thanks!