Question 1

What is foreclosure?

Accepted Answer

Foreclosure is a legal process by which a lender or mortgagee recovers the amount owed on a defaulted loan. This happens after a borrower misses scheduled payments or fails to meet the terms of their loan obligation. See also: https://64cents.com/blogs/introduction-to-foreclosure-auctions

Question 2

What is a foreclosure auction?

Accepted Answer

A foreclosure auction is a public sale of a foreclosed property to the highest bidder. In Texas, foreclosure auctions are held on the first Tuesday of each month between 10:00 AM and 4:00 PM at the county courthouse.

Question 3

How do I participate in a Texas foreclosure auction?

Accepted Answer

To participate in a Texas foreclosure auction, attend the sale at the county courthouse on the first Tuesday of the month. You must bring payment in the form of cash or a cashier's check. Simply announce your bid for the property being auctioned. See also: https://64cents.com/blogs/participating-in-an-auction

Question 4

How do I participate in a Texas foreclosure auction?

Accepted Answer

To participate in a Texas foreclosure auction, attend the sale at the county courthouse on the first Tuesday of the month. You must bring payment in the form of cash or a cashier's check. Simply announce your bid for the property being auctioned. See also: https://64cents.com/blogs/participating-in-an-auction

Question 5

Which Texas counties does 64cents.com track?

Accepted Answer

64cents.com tracks foreclosure listings in Bexar, Cameron, Collin, Dallas, Denton, Fort Bend, Harris, Kaufman, Rockwall, Tarrant, and Travis counties in Texas, as well as select Florida counties.

Question 6

What does price per square foot mean in a foreclosure listing?

Accepted Answer

Price per square foot ($/sqft) in a foreclosure listing is calculated by dividing the county-appraised property value by the property's square footage. It provides a normalized metric to compare relative property values across foreclosures in the same market.

Question 7

What does 'days to auction' mean?

Accepted Answer

Days to auction is the number of days remaining until the scheduled foreclosure auction date. This metric helps buyers understand how much time they have to research a property before it goes to sale.

Question 8

What is available equity in a foreclosure?

Accepted Answer

Available equity in a foreclosure refers to the difference between the property's appraised value and the outstanding loan balance being foreclosed on. Positive equity may represent an opportunity for buyers to acquire a property below its market value.

Question 9

What are the risks of buying a foreclosed property?

Accepted Answer

Risks of buying a foreclosed property include: unknown property condition (no inspection rights before auction), existing liens or unpaid taxes that transfer to the buyer, the property may still be occupied requiring eviction proceedings, and difficulty accurately assessing true market value.

Question 10

What is REO (Real Estate Owned)?

Accepted Answer

REO, or Real Estate Owned, refers to a property that a lender or bank takes ownership of after a failed foreclosure auction — meaning no third-party bidder purchased it at auction.

Question 11

What is an HOA foreclosure?

Accepted Answer

An HOA (Homeowners Association) foreclosure occurs when a homeowners association files foreclosure proceedings against a homeowner for unpaid HOA dues. Buyers of HOA-foreclosed properties should be aware that existing mortgage liens typically remain on the property.

Question 12

What is a foreclosure notice?

Accepted Answer

A foreclosure notice is a formal legal document sent to a borrower notifying them that their loan is in default. If no remedy is made within the required timeframe, the lender will proceed with the foreclosure process.

Question 13

What liens may exist on a foreclosed property?

Accepted Answer

Foreclosed properties may carry first or junior mortgage liens, unpaid HOA dues, and unpaid property taxes. Buyers should conduct a title search before bidding to understand what obligations may transfer with the property. See also: https://64cents.com/blogs/understanding-deed-lien-documents

Question 14

How do I pay at a foreclosure auction?

Accepted Answer

Winning bids at Texas foreclosure auctions must be paid on the day of auction in cash or by cashier's check. Personal checks and financing are not accepted.

Question 15

When do I receive a deed after winning a foreclosure auction?

Accepted Answer

In Texas, the deed is typically transferred to the winning bidder on the day of the auction after full payment is received.