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Updated almost 6 years ago on . Most recent reply
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Right of Redemption in Alabama
My partner has purchased a property in Bessemer, Alabama that was foreclosed on. The bank foreclosed on the property with a balance of roughly $15,000. The property was then sold at a loss to someone else who then sold the property to my partner. My partner paid roughly $10,000 for the property. This is my question. IF the person were to redeem the property during their right of redemption period, who would they pay and what amount? I've asked an attorney who says that the bank would be paid their $15,000 and my partner would NOT be paid his $10,000. I understand there would be interest, fees and improvements to be reimbursed, but the purchase price my partner paid would not be reimbursed? This doesn't seem right to me, but I'm not an attorney so maybe I'm just not understanding the law. I've read the law and am not able to interpret it clearly, so I'm giving the scenario in hopes for a clearer answer/explanation.
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- JD, CCIM , Real Estate Broker
- Tuscaloosa, AL
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My law license is technically in Texas, because that is where I lived when I was an active litigation attorney. I cannot do evictions in Alabama because I don't have an active license here. I can recommend Sarah Taggart in Huntsville (who does evictions all over the state) and Greggory Deitsch at Sirote Permut who is in Birmingham and does them all over the state, and Larry Darby in Montgomery, who does them in the Montgomery and Auburn areas. All of them are good, and their prices are around $750 or less for evictions with default judgments.