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Old 01-29-2008, 04:35 AM
Crony Crony is offline
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Join Date: Nov 2000
Posts: 2,593
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Pokerjoe,

I am talking about the Foreclosure Auction that takes place on the courthouse steps. What you wrote about sounds like a preforeclosure auction.

Every house that goes to auction in Texas starts with an opening bid by the mortgage company. In effect that is the minimum opening bid. If there is a high low bid, the mortgage company gets to buy it at auction at a predetermined price unless someone exceeds the high bid.

If you out bid the mortgage company for the house, the only way you don't end up with it is if the original owner declares bankruptcy on the day of the auction. There is no pulling of the property by the mortgage company once auctioned.

Might work differently in other states, but that is how they run them in Texas.
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