getting a loan for a foreclosure
 

I would like to bid at auction for a foreclosed house, and the
requirements to do so say I need to have a cashiers check for $1 over
the banks bid on the day of auction. I can find out the banks bid the
day before the auction after 2pm. So that gives me a few business
hours to come up with the cashiers check the night before. I do not
have several hundred thousand dollars to bid lying around in my bank,
and was wondering how people come up with with such money with hours
notice to place a bid. I spoke with my broker friend from over the
years and he said he had no idea how to obtain financing for such a
bid as all standard loans usually require an apraisal and a check is
issued after a closing, which isn't the case with the auction.

Specifically on the county website it says this about requirements for
placing a bid:

Obtain a cashier's check or certified funds, in the amount of the
lender's bid plus $1, drawn on a Colorado financial institution
licensed to do business in the state as defined in section 15-15-201
(4) CRS

Please let me know where I can look to obtain financing so I can place
a bid.

Thanks

getting a loan for a foreclosure
 

On 25 Apr 2007 10:35:16 -0700, someone wrote:

....I spoke with my broker friend from over the
years and he said he had no idea how to obtain financing for such a
bid

Doesn't sound like much of a broker. Just a salesperson selling
houses rather than televisions or refrigerators. Anyway, this is why
these are oft bought by professionals, who have arranged in advance to
have money ready.

Please let me know where I can look to obtain financing so I can place
a bid.


If you have to ask, you can't. Use your line of credit. Do cash outs
on some of your other properties. If you can't figure this out, you
shouldn't be bidding.



Reply to NG only - this e.mail address goes to a kill file.

getting a loan for a foreclosure
 

On Apr 25, 3:45 pm, (v) wrote:
On 25 Apr 2007 10:35:16 -0700, someone wrote:

....I spoke with my broker friend from over the
years and he said he had no idea how to obtain financing for such a
bid

Doesn't sound like much of a broker. Just a salesperson selling
houses rather than televisions or refrigerators. Anyway, this is why
these are oft bought by professionals, who have arranged in advance to
have money ready.

Please let me know where I can look to obtain financing so I can place
a bid.

If you have to ask, you can't. Use your line of credit. Do cash outs
on some of your other properties. If you can't figure this out, you
shouldn't be bidding.

Reply to NG only - this e.mail address goes to a kill file.

A home equity line of credit on an existing property you already own
is one of the most likely sources. You can get one where you draw on
it and repay it as needed. Or you could take a margin loan against
stock you own in a non-IRA account. After you buy it, then you can
obtain mortgage financing and repay the loan.