Condominium Foreclosure
Are there risks to buying a condo that has been repossessed by the bank through a deed in lieu of foreclosure?
I am interested in purchasing a condominium in a building of 12 units that has been or is in the process of being repossessed by the bank which lent funding to the developer who recently remodeled the property.
I’m unsure as to whether or not a deed-in-lieu affects the title of the property in a similar fashion as a foreclosure would.
Furthermore, I am somewhat curious as to whether or not this scenario is unusual and if I should be immediately concerned about other matters regarding the property if the developer no longer is involved. The units are finished and reasonably (though not expensively) furnished with hardwood floors and tile throughout.
Is this just a case of the developer not being able to capitalize on their investment quickly enough to manage payment on their loan? Should I be concerned or should I just take advantage of the bank’s relative urgency in selling the remaining units?
A deed in lieu of foreclosure simply means that the owner wanted to avoid the stigma of a foreclosure and turned the property back to the lender voluntarily. You will get title insurance to guarantee that you are buying a clean title (unless you are ultra stupid.)
If the previous owner was a developer who was doing a remodel on a building and wasn’t able to move the property fast enough or suffered from a crash in the market, there may be some workmanship problems. You should insist on an inspection of the unit to satisfy yourself that there are not any defects that you will be stuck with or at least can’t live with.
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Foreclosure, Rentals, Condominiums & More Real Estate in the 21st Century $1.29 This book is intended to address common issues facing homeowners and prospective homeowners, especially those owning homes in Florida. issues addressed are: Foreclosure IssuesAssociation LivingBuying And Selling Real EstateMortgages And FinancingHomestead And TaxesLandlord TenantOther Real Estate Issues… |
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Navigating the foreclosure process: here are some tips that could help protect lenders faced with foreclosing on condominium projects.(Legal): An article from: Mortgage Banking $9.95 This digital document is an article from Mortgage Banking, published by Mortgage Bankers Association of America on April 1, 2009. The length of the article is 2911 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available immediately after purchase. You can view it with any web browser.Citation DetailsTitle: Navigating the fore… |
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The successor developer conundrum in distressed condominium projects.(Florida): An article from: Florida Bar Journal $9.95 This digital document is an article from Florida Bar Journal, published by Florida Bar on July 1, 2009. The length of the article is 5020 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available immediately after purchase. You can view it with any web browser.Citation DetailsTitle: The successor developer conundrum in distress… |
