Guide to buying Foreclosure Auctions

Buying properties at foreclosure auctions can sometimes yield great buys, but you have to approach every auction with caution, because they can be disastrous if you don't do your homework well. Here are some tips for minimizing your chances of making a big mistake when looking at a property that's about to be auctioned off.

First, at least drive by the property to see what kind of condition the exterior of the house is in. Your chances of seeing the inside of the house are slim, unless it's vacant. The homeowners are going through a very trying time in their lives, so you can't expect them to be gracious if you ask to tour the home you are thinking of buying when they're forced to vacate. Assume that the house will need at least minimal maintenance, such as paint, carpet, and some upgrades, but know that they often need considerably more than that, because the owners have often been strapped for cash long enough to have put off maintenance for quite some time. If the house is vacant, don't be shy about peeking in the windows. You're a legitimate purchase prospect, and you're just doing a diligent inspection. Just remember: the less you get to see of the interior, the more careful you'll need to be when bidding at the auction.

Before you attend an auction, you'll need to be clear as to what you intend to do with the property if you're successful in winning it. Are you planning to live there yourself? Do you intend to fix it up and sell it retail or will you try to find another investor to buy it even before you've done any work to it? Will it become a rental property in your portfolio? Your ultimate goal for a property will be the sole factor in how much you'll be willing to bid for it. Regardless of your intention, you must exercise caution to make sure that you bid accordingly. If the price goes above what you think is a fair price, don't get caught up in the moment and bid higher. It's a mistake that can haunt you for a long time.

In most situations, you'll need to bring ten percent of the winning bid with you to the auction site. It can be cash or certified check, but most of the time you can't write a personal check for the down payment. You'll usually have thirty days to come up with the rest of the money, although some states require the entire amount to be paid on the day of the sale. Check with your local and state authorities to see what situation applies in your area.

Once you've decided to bid on a property, make sure you get to the auction site on time. Most auctions are over in an amazingly short time, often less than five minutes, so don't be late. If there are other people there, you'll find old-hands and you'll find folks who are only watching. This can be a great help to you if you're hoping to unload the property right away to another investor. Another investor may be willing to take over your interest on the spot, including a tidy profit, so don't be afraid to talk to other people at the auction.

Once the auction begins, keep your enthusiasm in check. If someone is bidding against you, bid up to the maximum amount you've determined ahead of time that you're willing to spend and then quit. If you don't, you could be making a big mistake, which could be devastating if you're a beginning investor. There'll be other auctions, and if you don't get the property this time, chalk it up to experience and begin your search for your next property.

Congress Approves Economic Stimulus Package

Congress approves economic stimulus package

Washington (ABC News) _ Congress has approved the rebate checks meant to stimulate the economy and President Bush is on board.
Timely, targeted and temporary, the economic stimulus package has been approved and the checks will be in the mail for about 100-million Americans.
“We stand here at the precipice of a fairly severe economic turndown and we must do everything we can to make sure that the severe effects of that downturn are mitigated,” said Sen. Charles Schumer (D-NY).
Individuals earning up to $75,000 a year will get $600. Families making up to $150,000 a year will get $1,200 plus an additional $300 for each child under 17.
In addition, 21 million seniors will get checks for $300, as well as disabled veterans.
“I thank members of Congress for their efforts on this legislation. This bill reflects our principles. It is pro-growth. It is robust and it will get money into the hands of American consumers,” President Bush said.
The plan is intended to get people spending in an effort to rejuvenate the economy.
“We are making history. What has passed the Congress in record time is a gift to the middle class and it shows that the work of Congress understands the struggles they have,” said Nancy Pelosi (D-Speaker of the House).
The checks will start being sent out in May.

Isn't there an easier way to do a property title search?

Isn't there an easier way to do a property title search?

In the modern environment of the internet, and "everything online", it is common to wonder why the process of running a title search is so complex. Property title records are recorded and stored as hard-copy paper documents. Information that is contained on hard-copy documents cannot be stored easily in an online database, as can most other types of records. Because of this, title searching involves searching through all of the recorded documents for a property. Property records are recorded the individual county, each of which has different procedures for the records office.

For example, to search for mortgages, the title examiner must first locate the copies of mortgage documents signed by the property owner. All of the papers for a property are not kept together in a group. These copies are kept in books, with each volume corresponding to a particular day and year. In order to locate all the open mortgages, the examiner must go through all the books over time, and find the documents that pertain to the subject property. The county normally keeps an index, which helps the examiner know which books to look in. The examiner must then look for documents that release any of these mortgages that were refinanced, or paid off. The same process is repeated for liens.

In some counties, there are multiple records rooms to go through. All of the information about the liens, and mortgages is contained in the wording of the documents, which must be retrieved and read individually. From this process, the title search abstract is created for a property.

For more info on how to do a title search or helpful title search links,
http://www.thenoteservice.com/title-search.html