Expert: Dick Dennis - 6/17/2008

Question
I Recently won an auction for a home at a foreclosure sale. The sale is pending court approval set for the 23rd. That was foreclosed by the 1st mortgage. For some odd reason the second mortgage also had a foreclosure sceduled for the week after. I have been told that I don't need to worry about that because that sale will not be validated as soon as I pay the price I bid for the home. However, know I am being told that the owners have an offer made on the house and are selling their home. I live in Connecticut is this possible?

Answer
Disregard any and all other liens and sales, Sandra. The first mortgage, from which you bought the property, wiped out any and all other liens. So, all you have to be concerned with is the loan you get to buy that property if you don't pay cash, and property taxes.

Property taxes are always number one lien on any and all properties. I presume the bank or lender who sold you the house paid the taxes. If not, you are obligated to do that now.

The previous owner does not have the right to entertain an offer from anyone because he was not the owner at the time of your purchase. So, get your money up and prepare yourself to move in. In Connecticut there is not redemption for the previous owner. I wish you well.


Dick Dennis