Losing your house to foreclosure can be a terribly challenging and upsetting time for homeowners. But just because the home went up for foreclosure doesn’t mean you have to just walk away from it. Did you know that you can actually bid on your own property at a foreclosure sale?
You may be wondering, if this is true, why don’t more people do it? Well, it’s actually not that difficult to explain. When you bid on a home, sometimes you are expected to have the cash upfront to pay for the home in as little time as 24 hours. And the cost of the foreclosed home can actually turn out to be more than what the homeowner paid.
A first mortgage foreclosure starting bid not only includes all monies owed by the previous owner, but also the cost of foreclosure, the interest on defaulted payments as well as any fees that were not paid or were owed due to defaulting on a loan. So while it is possible to bid on your own home, the starting bid is often too high for many homeowners to be able to acquire cash for. But it can be done.