Here is a link to contact information for many of the attorneys that handle the foreclosure sales, both in St Tammany, as well as Orleans.
This may come in handy. It already has for me.
Thank You
Marc Pellettiere
Do you have to register for a St Tammany Parish Foreclosure Sale?
The answer is no. You do not have to register for a St Tammany Parish foreclosure sale. If you bid, be prepared to place 10% of the final sales price as security on the property. This 10% must be available immediately after the sale and must be secure or certified funds, IE cash, certified check, or money order. You will then have 30 days to close on the other 90%. It is IMPERATIVE to close within 30 days or the 10% placed as security on the property will be forfeit. What will happen is the bank will now have holding costs, like insurance, and maintenance, that it has now incurred for another possible 2 – 3 months and they will deduct this money from your 10%. Therefor if you are lucky you may get some money back, but I wouldn't plan on it.
Each property is different. There is no norm. Know what you are going to bid in advance through due diligent research, to include title and appraisal. Do not depend on hearsay. Do your own research.
Please email or post with any questions.
Thank You
Marc Pellettiere
What does it mean “Sold with the Benefit of Appraisement?”
If you attend a St Tammany Parish foreclosure sale, you may have the questions; What does it mean "sold with the benefit of appraisement?", and "How does this affect the sale of that property?"If a property is sold "with the benefit of an appraisement", this affects the opening bid on the property. The bidding will begin at 2/3 of the appraised amount. The appraisal amount can be found the Monday before the sale either by contacting the St Tammany Parish Civil Sheriff's Office by phone at 985-809-8231, (fax 985-809-8286), or through their website www.stpso.com. Make sure you have the Sheriff's sale number, (example: 2008-12345), associated with the property you are interested in. They cannot help you without it. That is unless you just have a question, then they are very helpful. You can also email the Civil Department at civil@stpso.com.
If a property is sold "without the benefit of an appraisal, then bidding will start at "Cost" to the Sheriff's Office. This Cost consists of such things as;
- property taxes owed, including past tax sales with accrued interest and penalties.
- mileage for having to post the physical property.
- postage for certified letters.
This cost is usually between $1500.00 to $2500.00, but can be more.
Now, just because the bidding starts at Cost does not mean that is what the property is going to sell for. I have seen it jump from Cost to $80,000.00 in one bid. If the bidding begins at Cost, the Bank will open the bidding, and they are going to bid low, because there is a 3% Commission which has to be paid to the Sheriff's Office, and they would rather pay 3% of Cost, than 3% of $120,000.xx, for example. In other words, what this means is; if you are not willing to outbid the bank, then they (the Banks) would prefer you do not bid at all, and they are happy to tell you their highest bid. So if your number is not higher than theirs, then you will not bid at all. There is no guarantee on obtaining this information though, it is up to the Representatives discretion. There is no guarantee.
Each property will be determined differently. Know what you are going to bid in advance through due diligent research, to include title and appraisal. Do not depend on hearsay. Do your own research. If you are going to purchase, be prepared to have 10% of the final sales price in certified funds. The Sheriff's Office will want it briefly after the sale.
If you have any questions feel free to email or post.
Thank You
Marc Pellettiere
What does it mean? “What is the Writ Amount”?
If you attend a St Tammany Parish Foreclosure Sale, you may have the question, what is the writ amount? The "Writ Amount" is the amount owed to the Forecloser/Bank, at the the time the writ of seizure and sale is filed. In many cases it can be considered the lowest the Forecloser/Bank is willing to let the property sell for. St Tammany Parish will not sell a property without a representative from the Bank present, and the Bank is always going to bid the property up so that it will lose as little money as possible. However this is a business, and banks have to make hard decisions too, especially in the market of:
- Federal Foreclosure Help Bills.
- Federal help for Fannie Mae, and Freddie Mac.
- Large companies, like Indy Mac, folding.
- Bank of America acquiring Countrywide Mortgage, (which is a nice way of saying; save our investment before it folds.)
I do not mean to cast a doom and gloom atmosphere over the real estate market in St Tammany Parish, I do see us still as a good market, especially in a bad time. We were an exceptional market for a long time, and were definitely thrown a loop from Katrina, and maybe because of that time of hyper activity we didn't see this coming. There has definitely been a leveling off period, but the market is good. Yes prices have come down and market times are longer, but properties are selling. There will always be fluctuations.
Thank You
Marc Pellettiere
Learn to Avoid Foreclosure and Keep Your Home
I am attaching an excellent document written by:
Center for Responsible Lending
NeighborWorks America
National Association of Realtors
Download foreclosure_brochure_2007.pdf
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Thank You
Marc
marcp@scogginproperties.com
Foreclosures FAQ
Foreclosures Frequently Asked Questions.
*Is there a redemption period on Sheriff’s sales? No. Except when there are inferior IRS liens. The IRS may redeem within 6 months of the sale, but must pay 6% interest, the full purchase price, and necessary improvements made to keep the property.
*May I write a personal check at a Sheriff’s sale? No. Cash, cashier’s checks, money orders, certified checks, and bank Official Checks are the only forms of money accepted.
*What happens if I bid on the wrong property? You must be sure to bid on the right property, otherwise you might have to purchase the wrong property.
*How will I know how much money to bring as a deposit if I do not know what amount will be the winning bid? Know your bid before you come to the auction and come with 10% of that amount and no more.
*Suppose I am the winning bidder but my cashier’s check is higher than my successful bid amount? Can I get change? Yes.
*Am I the owner of the property after I put up my 10% at the auction? No.
*Can I get the property insured after I put up my 10% at the auction? Yes. If you can find an insurer who will write insurance on an insurable interest even though you are not yet an owner.
*May I enter the premises or can I have an appraiser enter the premises for financing purposes after I put up my 10%? No.
*Can I evict the occupants after I put up my 10%? No.
*What is an inferior lien? A lien that is lower in rank than the foreclosed lien.
*What is a superior lien? A lien that is higher in rank than the foreclosed lien.
*Does an IRS lien outrank other liens? No. But IRS may redeem the property as stated above.
*Why are so many Sheriff’s sales stopped? Bankruptcy, forbearance, human error.
*Can a debtor sell, donate, or transfer his property after the Sheriff has seized it, but before the Sheriff’s auction? No
*Can a debtor list it with a Realtor after seizure but before the Sheriff’s auction? He can list it, but the listing will be unenforceable and illegal.
*Suppose the debtor sells the property in spite of the seizure by the Sheriff? Is such a sale legal? Such a sale is illegal and counts for nothing.
*Can I negotiate to buy the property directly with the creditor and skip the Sheriff’s sale? Yes, but the negotiations must include the debtor, the creditor, and the Sheriff.
*What happens if I do not put up the balance of the purchase price after being the successful bidder? Can I be successfully sued for double the deposit or be forced to complete the sale? The deposit is in jeopardy, but you cannot be sued for double the deposit or be made to buy the property.
*Do I have to register for the auction? No.
*Do I get clear title at a Sheriff’s sale? If the debtor had clear title you get clear title. If the debtor did not, you do not.
*Is there a warranty? No.
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Visit
www.StTammanyHomesAndLand.com
for a Free Weekly List of Foreclosures in St Tammany Parish Louisiana.
Thank You
Marc Pellettiere Realtor
Scoggin Properties / GMAC Real Estate
985-867-8670