Well I went to the Clark County Trustee Sale today and what a whirlwind of activity. There were probably about 100 people in attendance, not all there to bid on properties mind you. This is a picture just before getting underway for the day at Nevada Legal News located at 930 S. Fourth St, Las Vegas. This scene is repeated every weekday at 10am for those interested in checking out the process themselves.
With all that said there were some title company representatives to help their clients figure out if there may be more than the one lien they were bidding on or not. You see, just because you are buying a lien on a property, potentially at a huge discount, that's kind of the point. That doesn't mean your purchase chases away any of the other liens. If you happen to be buying the second mortgage, you had better hold on and hope that the holder of the first may be willing to work with you. The first mortgage holder is in the first position and they have all the power. In case they go to foreclosure, your little second lien you bought will get wiped out for pennies on the dollar possibly. You need to go to these 100% prepared. You need to make sure you have someone pull a property profile report for you, usually that's done by a title company out here in Nevada. You almost will never have access to the property, but it would be good that if you had a neighborhood targeted, to at least drive through it to check out the outside of the property and the surrounding neighborhood. You still will need to do one of many things you see, rehabbing, either renting it out, or putting it back up for sale once you've fixed it up. It would be highly recommended if you also had an agent to help you figure out what kind of pricing, whether if you're going to be renting it out or putting it back out there for resale.
If you live in the Las Vegas area, you really should go down to check it out at least once.