So after 3 weeks of back and forth and a whole lot of waiting, we finally got our bid accepted for an auction property. We received the contract and have found a few things that we wished we knew up front.
1) They will only pay taxes and assessments from the time the bank acquired the property. (Luckily in this case the taxes are paid to date) but that is huge and something to investigate before you accept the offer. Also, my title company told me that most of the taxes would have gotten wiped out at the trustees sale, so that might not be as big of a concern as we thought. But good to know.
2) They will not pay the HOA transfer fees. In their terms and conditions on the website it states they will pay condo fees (also HOA) but in the contract that only applies to the dues. So we contacted the HOA and the transfer fee is $350 plus there is a buyer's capital fee of $775 which we already knew.
3) They will not pay any special taxes or transfer taxes. When I contacted the title company they told me we don't have those taxes in AZ, so I guess we are safe, but in other states it is something to watch out for.
Wow, all of the little details that they throw in there. Wouldn't it be nice if the contract was posted on their website so you could read it before you submit a bid? They have 4 pages of terms and conditions, but not the contract. How convenient for them.
We are pleased that we got the house accepted and look forward to closing escrow, but it is a learning experience from the beginning to the end. Now onto the fun part the loan! That isn't going to be any easier, let me tell you!
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