No Sheriffs Sales this week

[Dave2]

Sherriffs must be taking a vacation 

[Pfm1011]

have you tried them? I have not yet. there was one I was really interested  in oakville a few years back but got cancelled day before.

Do you think there is deals or more like standard auctions with idiots who overpay?? I have always found power of sales to be at least 20% over market value of mint properties and as there are the worst on the street they go for 30 to 40 % over true value

. I am  wondering if sheriffs sales tend to be the same.

For those who don't know, When a power of sale is listed. The bank has a legal requirement to get maximum for the owner.
To  prevent any possible lawsuit, the bank will take the highest appraisal of similar house sold in the area and add 20% . This becomes the asking price for the POS house.  The pos house is clearly worth substantially less as obviously people aren't renovating and putting in new kitchens when not making mortgage payments. The resultant ask can easily be 30 to 40 % over .actual market .

The general public now sees the POS sale and have no clue that the asking is way over value as idiots are blinded by the dream of a bargain and most people have no access to area sales information. Obviously the realtors wont give you the area sales and when asked about a recent sale will use the "I THINK it went for" .The realtors   are more then willing to let you fall on a knife and overpay for your bargain . Thankfully they will advise you to bid over ask to ensure you don't lose out and of course  there is no inspection or clauses to protect you. . And since this is such a bargain, you better not waste time getting a home inspected prior to the offer as you will miss out on the deal of a century..

 Always ask yourself   ..If its such a deal , why aren't the realtors grabbing it themselves?

The POS results in the old owner getting way better return then they would have on the market .They generally  end up getting out of a mess in good shape compared to what they would have done if listed and sold willingly. .

And if its a grow house, unless it was raided and published and they received written notice,  you re dreaming if you think the realtor  will disclose. I have been in a POS where there was holes right thru the house and the basement was solid black with mold and the agent said  " the holes are from when  he started renovating"  

The law requires them to disclose only what you can PROVE THEY KNOW. Willful blindness is a common disease among realtors.

[Dave2]

have you tried them? I have not yet. there was one I was really interested  in oakville a few years back but got cancelled day before.

PFM:

1) I am posting this more as a public service because Rob is not posting it.  There are several sources of bargain properties and this is one more iron in the fire to use a cliche. 

2) One of the reasons I thought these might have more potential because Tri Target and Ontario Tax Sales are not out there pushing them as well. 

3) The big disadvantage is that non government mortgages are not removed from title.

[Pfm1011]

I appreciate the listings for sure

[Jayz]

have you tried them? I have not yet. there was one I was really interested  in oakville a few years back but got cancelled day before.

Do you think there is deals or more like standard auctions with idiots who overpay?? I have always found power of sales to be at least 20% over market value of mint properties and as there are the worst on the street they go for 30 to 40 % over true value

. I am  wondering if sheriffs sales tend to be the same.

For those who don't know, When a power of sale is listed. The bank has a legal requirement to get maximum for the owner.
To  prevent any possible lawsuit, the bank will take the highest appraisal of similar house sold in the area and add 20% . This becomes the asking price for the POS house.  The pos house is clearly worth substantially less as obviously people aren't renovating and putting in new kitchens when not making mortgage payments. The resultant ask can easily be 30 to 40 % over .actual market .

The general public now sees the POS sale and have no clue that the asking is way over value as idiots are blinded by the dream of a bargain and most people have no access to area sales information. Obviously the realtors wont give you the area sales and when asked about a recent sale will use the "I THINK it went for" .The realtors   are more then willing to let you fall on a knife and overpay for your bargain . Thankfully they will advise you to bid over ask to ensure you don't lose out and of course  there is no inspection or clauses to protect you. . And since this is such a bargain, you better not waste time getting a home inspected prior to the offer as you will miss out on the deal of a century..

 Always ask yourself   ..If its such a deal , why aren't the realtors grabbing it themselves?

The POS results in the old owner getting way better return then they would have on the market .They generally  end up getting out of a mess in good shape compared to what they would have done if listed and sold willingly. .

And if its a grow house, unless it was raided and published and they received written notice,  you re dreaming if you think the realtor  will disclose. I have been in a POS where there was holes right thru the house and the basement was solid black with mold and the agent said  " the holes are from when  he started renovating"   

The law requires them to disclose only what you can PROVE THEY KNOW. Willful blindness is a common disease among realtors.

In today's crazy real estate market, nothing is considered overpaid, at least in GTA. I have first hand experience in POS. For those who've been in here long enough, you may have read my story, my mess in real estate partnership several years ago. One of my properties ended up under POS that fetched $120k more than what we could have sold it for in a regular real estate deal. Considering that house had been listed for sale for a few months and attracted only one buyer who "came to our rescue" to pay barely the asking before it went under POS, I called that buyer who paid $120k more under POS an idiot. Now, that house, in that location, even in that same condition, can be easily sold for a million. That "idiot" has a value increase of $400k~500k in that house in 4 years ... It proves that old school is not working in today's real estate market, unfortunately. I once was a strong believer that you should never pay more than asking. Ironically, it turns out nowadays that you can't buy a decent property without a good fight in GTA and perhaps other areas as well. Bidding has become a norm in regular real estate sales, which I believe real estate board and its sales as well as governments should be held responsible for.

North York house got cancelled, which is not a surprise. I wonder how high it could have gone up to if it went all the way to the end. Anybody guess?

[Dave2]

In today's crazy real estate market, nothing is considered overpaid, at least in GTA.

North York house got cancelled, which is not a surprise. I wonder how high it could have gone up to if it went all the way to the end. Anybody guess?

An old saying quotes:  "A rising tide raises all boats"   But like the tide it rises but it also falls.

So if you are dealing with an overheated market you sell (for a profit) which I am doing because hopefully you purchased when the market was less crazy or you are smarter then some of the people. It makes the purchase side of the market tougher but makes the sell side easier.  

Jayz:

Regarding your question I used to live in North York but my local market knowledge is a decade out of date.  As I said at that time I traded a fifty year old house for a 10 year old house with a double the land and a house that was much more suited for a then becoming older couple.  (Ranch style compared to two storey.)    

To be honest with you now that it is gone I don't care or speculate.  The Toronto sale had (until recent redemptions) and maybe still has  something for everyone.  I don't know because I have pulled out of the market temporarily  to digest  a recent purchase lets say "is interesting".    

If the market is as crazy as you say maybe you should make money from it by not purchasing properties at all.  How do you do it? You sell seminars to people on how to make a fortune buying tax sale and sherriff properties.  

http://www.worldwealthbuilders.com/apprentice-real-estate-in-canada

In any purchase you are careful.  I mean in what business would you deal with someone with the last name of "Vader".  As one person who hangs out here joked her fathers name was probably
Garth, you know "Garth Vader".  In spite of that she convinced me enough to put in a bid.  

Didn't get it because my boss was not impressed with the property and that means I had better bid low. (One of these days I have to better learn from you how to handle bosses as you are obviously smarter then me because you inspect property with pretty ladies. ) I can't even manage one well.

We are overdue for a meeting as the last one happened several years ago.  In the interim "May the force be with you"  

[Pfm1011]

well running those courses would be a lot more profitable then doing this (whine whine )

At least it isnt No money down

https://www.youtube.com/watch?v=hnda41lj6go  
https://www.youtube.com/watch?v=K853GykeGH0


You can follow great real estate investors like Robert Allen   Bankrupt    Ed Beckley   Bankrupt  Dave Del Dotto settled paid fine  and banned from real estate  Tom Vu   poker player now  ,  Tony Robbins ..bankrupt( more evaporated )  and divorced ( really makes you question the "how to have a happy marriage section)

That said you are probably better off giving this guy 4 or 5 k then to hand it to a " investment counselor " at a bank or brokerage house.