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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: Lender's opening bid is a bid.... Posted by jeff on December 18, 2003 at 6:35 AM In Reply to: Lender's opening bid is a bid.... posted by Ward-CA- on December 17, 2003 at 5:48 PM : : Minimum bid is set at $220k : : Only lien on the property forecloses - this lien is for $100k : : Only bid at auction is lienholder, which bids minimum. : : Does this mean (i) the lienholder owns the property, and (ii) must pay the mortgagee $120k, which is the overbid? Or does that overbid (that is, distribution of excess) only apply when the bidder is other than the plaintiff/lienholder? : : I searched for an answer in the database w/out any success - thank you in advance for your response. : ================== : Jeff, : The opening bid at a foreclosure sale is the total amount owed the foreclosing lender. So if the minimum bid that was set was $220K then that is what was owed the lender. : If no outside bidder topped the lender's opening bid then the lender gets title to the property for the amount of their opening bid. : Hope this helps. I failed to mention an important fact - the minimum bid in this case is set by statute - this creates the possibility that the opening bid is higher than the lien. I will check in the law library and let you know what I find in case the issue arises in other states. Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : : : Minimum bid is set at $220k : : : Only lien on the property forecloses - this lien is for $100k : : : Only bid at auction is lienholder, which bids minimum. : : : Does this mean (i) the lienholder owns the property, and (ii) must pay the mortgagee $120k, which is the overbid? Or does that overbid (that is, distribution of excess) only apply when the bidder is other than the plaintiff/lienholder? : : : I searched for an answer in the database w/out any success - thank you in advance for your response. : : ================== : : Jeff, : : The opening bid at a foreclosure sale is the total amount owed the foreclosing lender. So if the minimum bid that was set was $220K then that is what was owed the lender. : : If no outside bidder topped the lender's opening bid then the lender gets title to the property for the amount of their opening bid. : : Hope this helps. : I failed to mention an important fact - the minimum bid in this case is set by statute - this creates the possibility that the opening bid is higher than the lien. : I will check in the law library and let you know what I find in case the issue arises in other states. Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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