4BR/3BA Home on La Cima Dr in La Mirada sold at auction 11 days ago.
The 2nd loan was foreclosing.
The loans were:
1st TD $232,000.00 11/28/2000
2nd TD *$191,000.00 9/22/2010
The bidder who bought this home paid $192,897.00 to pay off the 2nd TD.
Now, you may ask.. "What about the 1st TD?" Good question.
Our website shows that the 1st TD has also started a foreclosure.
The notice of sale indicates that the 1st TD is owed $249,952.00 and that there is a sale date on 4/6/2015.
This buyer had two options. They could have done what they did. Or... They could have waited until April and bid on the 1st TD, knowing the 2nd would get wiped out at that auction, and hope that no other bidder drove it up or that no one else had showed up at the auction 11 days ago and did what they did... As it is, they paid $192,897.00 at auction, and must now bring the 1st that is owed $249,952.00 current. That is a total purchase price of $442,849.00. The house has a value of $545,715.00 So that means the buyer has over $100k in equity.
The buyer here played the safe bet. They bid on a 2nd TD, having full knowledge what was owed on the 1st. They bid on a 2nd, knowing many people do not do that, thus limiting their competition at auction by doing the unconventional thing- bidding on a 2nd. By not waiting to bid on the 1st at auction, they got the house. They saved $100,000 and prevented a potential bidding war in April, because now that auction will not happen.
We always have choices. What choices we have are dictated by the numbers, the property, and the turn of events. It is our focus to define these choices and do the best we can. Call CRR when you have a choice to make. We will help.