| The process of the bank taking ownership of a home from its default owner is called 'foreclosure.' In Utah, this process can take seven or more months after the first missed payment.
The term 'foreclosure' can mean several different things, depending upon what stage the foreclosure is in A home is being foreclosed on is in pre foreclosure. A listed pre foreclosure can also be called a 'short sale.' Please visit my short sale listings from the resource menu above.
A unless resolved, the pre foreclosure will be auctioned at the local county court house. In Salt Lake, actions periodically take place at the fourth district court in Provo or American Fork, Utah. Many properties that make it to the auction either have no equity (we call this underwater) or are flawed fundamentally in title or condition. If you purchase a property at an auction, be sure to do your homework. This can be a very risky way to purchase real estate. As the new owner, you also own all encumbrances and other problems attached to the property.
If the bank wins the auction, they become the legal owner of the property. Banks typically do not like to own homes. They are in the business of lending money, not managing real estate. Each bank has its own policy as to the disposition of its unwanted real estate. Some banks sell their properties as quickly as possible below market value. Other banks fix up their homes and try to sell at market value. Banks will most always sell their homes as-is. This helps protect the bank from further loss or litigation. Purchasing a bank owned property guarantees a clean title.
When dealing directly with the seller of a foreclosure, let the buyer beware. I recommend using a knowledgeable REALTORŪ in any real estate transaction.
I'm ready to answer any question you might have about foreclosures. These listings are NOT ADVERTISED OR FOR SALE but listed for informational purposes only.
Gary Pryor
"Your Home is my Priority!"
Altius Realty
Email: priority@ListingUtah.com
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