Questions about buying a foreclosure home in CA.???

My husband and I are thinking about buying a home that is in foreclosure, but are unsure of a few things.
*The property we are considering has been in this other family's hands for ten years, but a couple of years ago they took out a 0,000 2nd mortgage. So between the first and second mortgages they owe close to 0,000. The property now is only worth about 5,000. From what I know, it is the second that they have fallen behind on.

So, if we were to buy this property, would we pay what the home is worth, or would we somehow be responsible for the entire debt?

Also, does anyone know anything about the HUD Officer Next Door program? (It's where officers can buy HUD homes for 50% off) The website says their are no homes in my desired area at this time. Do they use foreclosed homes for this program, and if so will it be just a matter of months before they are flooded with available homes?

Related FHA and HUD Posts

Tags: , , , , , , , , ,
Tags: , , , , , , , ,

One Response to “Questions about buying a foreclosure home in CA.???”

  1. Landlord says:

    HUD really buys the homes themselves and then resells them, usually at a loss. They only have so much funding, it does not matter how many homes are available, they will not be buying more. Also, they only buy homes in "distressed" neighborhoods (terrible side of town) with the thought of moving normal people into the neighborhood it will improve.

    As far as this house…..

    Is it already foreclosed? If so you are OK to buy it, the second already settled with the first, which is what they need done to sell the house.

    If it is "in foreclosure" you need to go on. The first still holds first place, so they will want their entire 350k and the second will have to settle for remaining 75k, loosing 225k.

    They are more likely to settle the first and just sit on the property for 2-3 years until the market improves. Their investors will not go for a 79% loss. If they wait it out their total loss will be much less.

Leave a Reply

Recent Posts:

Streamlined Fha 203K Loan – The Fha Home Loan Program For Fixer-Upper Homes!
Florida FHA Mortgage to Iincrease homeownership, 97% financing
HUD assistant secretary says agency won’t raise FHA borrowing score
Why Choose an FHA loan? (( 97% w 500+ FICO ))
Real Estate Conditions 2 – Mortgage & First Time Home Buyer Dec08 Seller to pay Closing Costs

Related results on Questions about buying a foreclosure home in CA.???

  1. Sorry for bombarding you with questions! If there are any books, websites or other resources you can recommend for learning more about the home-buying process I'd be grateful if you could list them in your answers. I realize that I'm a bit naïve about this whole process, ... So, you could potentially end up with a pretty hefty monthly difference even after you rent out all of the rooms?which could then lead down the road of miss payments and eventually foreclosure. ...

  1. Questions like should you sell it yourself, or list it on the market with your local real estate agent are just very few of the many concerns that you need to address cautiously. ... You may be under serious financial pressure with your lender or bank beginning to foreclose on you. All these motives are valid ones that push home owners to sell their properties as soon as they can.In the current market, it can take the typical home up to a year to be sold. ...

  1. (637, http://cbamazon.co.cc/home/homebuyerdefenseguide.html homebuyerdefenseguide.com Questions To Ask When Buying A Home What questions to ask when buying a house and home buyer tip for first time home buyer is also a good reference source for .... (682, http://cbamazon.co.cc/home/howtopickle.html howtopickle.com The Ultimate Guide To Pickling The Premier Guide On Profiting From The Home Foreclosure Market. Discover A Proven System Requiring No Investment, No Risk, ...