All the best on your real estate ventures!

If there is equity and the borrower defaults and the lender starts foreclosure, only a full payoff prior to the foreclosure sale will stop the foreclosure.

My question is - what's there to stop someone from saying they are an owner occupant and just avoiding the requirement?

Hello, my name is Michael Kuhn.After going thru a Lifetime of bad experiences, suffering, & challenges over the last 8 years, we are starting a new venture to help us make decent money and gain back control over our Lives: Real Estate.  

I've basically stopped posting since they downgraded, sorry redesigned, the website, I can't get past the extremely annoying forums page.  

Alternatively it could meet a economic wall that cannot be ignored and come to a very abrupt stop leaving a lot of folks drowning (just ask some of our neighbours to the south how quickly the party can end).Finally, yes, there is still money to be made, but the approach you outline is more speculation than investing.  

Good luck with your new venture!

I'm trying to figure out whether Aurora and the surrounding area is the place where I want to keep the bulk of my investing activity or venture out to some other areas where housing is much cheaper.

@Kurt Pourbaix I agree with other responders, as described this sounds more like a joint venture than a lender/borrower situation.However, talk to your accountant, there may be ways to structure your arrangement so part of it is lending (with interest income & principal repayment) and part of it is investing...if that would be helpful to you and your tax situation.

I am looking to purchase a home through auction for my family and I and the details are as follows:Wells holds the lien and there are no junior or other outstanding liens.It was established in 2011 at 175k and the property owner stopped paying over the summer so I think it's in the 161k range for what's left on the mortgage.In talking to Wells they said that they were not listing the property for auction but the owner was... yet Auction.com lists this as a foreclosure property.My father would partner with me on the cash for this deal until I can grab my traditional financing but he is worried about being on the hook for more than we expect.If I have checked with my recorder of deeds for any extra liens or overdue taxes, sewer bills, etc, can I be on the hook for anything more than my bid price if I win?