Hazards of buying homes at the Public Trustee

Hazards of buying homes at the Public Trustee

Savvy buyers are attending the sales at the Public Trustee every week in hopes of purchasing properties with potential of making some good money.      Most often, you are not able to see what the condition of the property is in prior to purchase.     Purchasing through the Trustee requires the purchase to be paid in full with cash and with good funds (cashier's check or wire transfer).      These sales are final.

It is wise to do some homework prior to this purchase, as the clerk in the office may know there are liens on the property, but quick to alert potential buyers all liens fall off after this purchase.    This is NOT always the case.    Any government liens DO NOT fall off, and either you need to negotiate the release or wait the time restraints.     I have seen Small Business loans filed, and were in place for 3 years, and the need to negotiate (and pay) for the release with the aid of an attorney.      You may also find IRS liens on the property which fall off pretty quick after purchase.

This is true for buyers trying to purchase a property from a "flipper".    It is hard to get into a transaction, do an inspection and the appraisal then to find you cannot close for months, or years.

Know what you are getting into before you purchase a property through the Public Trustee and believe you will make quick money!