What happens if no one bids at a Sheriffs Foreclosure Sale


#1

In mid 2012 the lender got a?Writ of Execution ?Money Judgement and?Notice of Levy on our property. In?Dec 2012 a Sheriffs Sale of the property took place. No one attended or bid at the sale. Now a year later I received another?Writ of Execution ?Money Judgement and?Notice of Levy on the same property! ?I thought the lender had taken title to the property in Dec 2012!

I spoke with the Sheriffs office and they said the lender had intended to bud by proxy but had failed to do so and as a result had to start the whole process over. ?Is this correct or does the lender win the auction by default?


#2

? ?The creditor has the right to bid in the full amount of the Judgment. ? Of course anyone, including the creditor, can bid more. ?The creditor, or buyer, takes title subject to all senior liens (taxex, loans, judgments etc.).


#3

Lenders typically place the first, or “opening” bid, in order to protect their interest in the property. This is the first I’ve heard of a lender not doing that. But even if they had placed the bid and the sale had?occurred? they could still rescind it. You really aren’t off the hook until the deed is recorded.