All Forum Posts by: Jim L.

Chris, while I apreciate this view, I disagree with the notion that an agent--with no more information available than I've given--will understand the land value any better in this situation than the amassed wisdom of the pool of investors available here on BP. As I am coming to see it, even an experienced appraiser would struggle to advise here because of the subjective value to the limited pool of buyers (as noted by Kevin). I'm looking less for "what is the market value" and more for "how would one best approach this negotiation?" 

Landlocked property has an easement over a 1/4-acre ell in the neighboring property that otherwise blocks the property from the road and is largely (desirably, for privacy/noise) covered in trees.  Owner of neighboring property is willing to selling the ell, and develop-able vacant land in the area goes for $10-$15/sf normally.  Some larger (8+ acre), treed, hilly land nearby seen for $2-$3/sf.  However, the ell includes the neighbor's septic drain field.  Sale of the ell would require an easement for the septic drain field.  So...  as the neighbor would retain some value in the land (easement for drain field) and the land is essentially un-developable, what is a fair price range?  

J. Scott's sample contract is now found here:

Independent Contractors Agreement - Part 1 (biggerpockets.com)

Independent Contractors Agreement - Part 2 (biggerpockets.com)

The country records office has the information you seek, just not in a convenient list.  Or wait, are you looking for post-sale info?  Not sure where you'd find that right after the auction, as each trustee keeps its own information.  Eventually the sale price will likely show up in the country records (e.g., tax records for the parcel), but that takes some time, and some digging.

I've been following tax deed sales in King and Snohomish counties in WA for a couple of years.  Not many deals are had there, in my view, as the bids typically go up where there is not a whole lotta margin left for rehab and financing costs and still make a profit.  It is virtually required to have cash on hand for entire amount, and many of the HMLs won't lend on such properties for a number of reasons.  Put that together with the redemption periods, title, and other issues, and you'll want to be very careful about vetting properties before purchasing at the tax auction.  YMMV.  I recommend speaking with an attorney about how to proceed, if that is your aim.

@Greg Lovern  As for the WA laws regarding pre-foreclosure, in many instances would label those chasing pre-foreclosures as a "distressed home consultant" with all the consequent requirements. The REIA's commentary about it may be more dire than necessary, but in view of the felony penalties it would be wise to understand the limitations. 

In Washington, Sheriff's sales of non-agricultural, occupied properties typically have an 8 month redemption period, while Trustee sales thereof have a 12 month redemption period, extended by 6 months in some circumstances for the debtor.  (See , 030.)  This redemption period may affect ability to get title insurance during that period.  Although it is rare that a homeowner redeems the property, a mortgagee or other lienholder may also exercise a right of redemption.  

Tax lien foreclosures have a whole other set of redemption rules. (See, e.g., RCW 84.64.070.)

The above is provided solely for educational purposes, and does not constitute legal advice or counsel.  Particular circumstances  and facts may affect which laws are applicable.  The reader is advised to engage a local real estate attorney directly to address specific circumstances and opportunities.

@Chip Towner, I realize this post is old, but I wonder if you'd identify the Washington laws you reference.  If you're thinking of RCW 61.34.120(2)(b), that seems limited to a "distressed home purchaser" as that term is defined in 61.34.020, no?  That isn't to say there may not be other laws that restrict chasing pre-foreclosures. 

NB:  The above is presented strictly for *educational* discussion.  It is not intended as legal advice, and should not be construed as such.  This conversation does not invoke an attorney-client relationship or any privilege that would be associated with such relationship.  

Consider this.  If the lendee doesn't perform according to your contract, your recourse would typically be foreclosure.  But your payoff would typically come from foreclosure sale proceeds after the first mortgagee is paid off, along with all fees, penalties, etc.  If the additional foreclosure value of the raw land would cover your interest, perhaps this provides sufficient surety for your comfort.  If there is not enough value to cover your interest after the primary loan, fees, etc. are paid, there may be little benefit in foreclosure.  You don't seem the type to threaten broken kneecaps as a fallback.  (And there definitely is a legal obstacle for that plan.)

The "Marketplace" here on BP is one option. If you attend a local REIA meeting you'll likely find some takers as well. Are you looking to wholesale, or just pass on the deals? I'm in WA myself, and may have interest depending on the area. Some wholesalers get lists of potential buyers by skimming the sales or tax records to find non-owner occupied properties and thus track down the (higher likelihood investor) owners that way. Good luck! And feel free to contact me directly to talk about your leads.

It is amazing what some people can live like.  Assuming dad has at least acquiesced to the sons' occupying, they may legally be his "guests" not his tenants.  It seems to me that until you own the property the sons have no real motivation to move.  Having the place declared uninhabitable usually works to the advantage of a tenant anyway, and may require the landlord (eventually you) to make repairs to make it habitable (although a tenant's recourse is typically withholding of rent, so ...).  

In the absence of formal or informal lease terms (and considering the lack of rent), the sons are probably not tenants and thus eviction may be an inappropriate solution.  However, in that case consider the elements of criminal trespass.  See North Carolina's first degree trespass and second degree trespass laws.  A financial incentive to move may be less messy though. (Don't give $, or at least not all offered, until they're gone.)  Look for win-win where possible.

Police removal of trespassers, if necessary, can often be accomplished far more swiftly than an eviction, but may still require substantial verifiable evidence of ownership (e.g., legal deed, etc.) and absence of a lease (e.g., shown in affidavit/statement from former owner-dad).  Talk to the police about what they'd want to see.

DISCLAIMER: The above is provided only for informational/educational purposes, and does not constitute legal advice.   You should not rely solely on this information as the laws and procedures in your jurisdiction may materially differ.  You should consult a local attorney familiar with laws  and processes of your jurisdiction and the details of your situation which may significantly affect circumstances and outcomes.