Lien's are what can bite you.. need to stay on lien release's.. some lenders don't but I do... we get release's from all subs and the GC

A word of advice, have a plan for extending the term of the HML since you are only going for a 6 month term.  

They said extend the lease and we will pay the rent.  

Hi Community,I am looking at a property which is foreclosed.It had below events on property:1\1\1999 Deed of trust -- Owner1 -- ABC Mortgage1 (Subsequently Released)1\1\2000 Deed of trust --Owner1 -- XYZ Mortgage 2\1\2000 Release --Owner1 --ABC Mortgage11\1\2002 General Warranty Deed With Vendor's Lien Owner1 GrantorOwner2 GranteeNote: Document also mentions about DEF Mortgage being first Lien mortgage1\1\2002 Deed of Trust --Owner2 --DEF Mortgage Appointment of substitute trustee on DEF Mortgage to Owner2Considering above events on property will the XYZ Mortgage of owner1 wipe out when the foreclosure auction happens on "Owner2 --DEF Mortgage" ?

Their lien was actually released from the property, now only leaving the second.  

hi zion. let me give you a quick education on how you can do this. first, let me say that doing it yourself is not a great idea. yes, you can learn how to do a pretty good job, but the experts are the experts, thats why you pay them. that being said, here is a basic education. go to the record of deeds office or county clerk or whatever you call it in your neck of the woods. sit down on a computer and plug in the address. look for anything and everything to do with that house. look for liens especially. after you find any open liens for the last, lets say 50 years, look forward for lien releases for each and every lien. if you find the releases, then those loans/ liens are finished and will not be a problem, unless something stupid comes up on them where someone signed in the wrong spot or the date is wrong or something like that. anytime someone places a lien on a house, be it a mechanics lien or loan or back taxes, they have to file paperwork with the county to do so. it will be recorded. anything that is open and has not had a release of lien, is still a valid claim against that house. simply put, the complications involved here, especially if you have never done this before, is exactly why you pay an expert to do it for you. good luck

Maybe there is something you can bring of value to them when sending in an offer (ie fast close, extending close of escrow to accommodate a 1031 exchange etc).  

The current owner is bad with paper and does not have the releases nor does he have a copy of his title insurance.  

Sometimes people accidentally buy useless tax liens ( storm water drains, swamp land, highly contaminated sites, etc. )If taxes are from IRS or elsewhere and current owner has no money then they might do a negotiated lien interest release for XX dollars payment.

I made an offer to return her down money and release her from the option, but her realtor boyfriend advised her not to.