Logan Utah Foreclosures & Bank Owned Homes
This is the only page updated weekly with actual foreclosure listings in Logan, Utah. Homes in Pre-Foreclosure also known as Logan Utah short sales with a notice of default will not be listed here, but we do have access to provide you with information on these properties. Contact one of our Logan Foreclosure experts to get a list of current homes in pre-foreclosure (short sale). Most homes in foreclosure can be found on the MLS as well as HUD homes, Bank Owned Properties, and REO's. As a HUD approved real estate agency, we at the Platinum Real Estate Group can help you purchase Logan foreclosures. Learn about the entire foreclosure process below.
The Foreclosure Process
Why Do Logan Homes Get Foreclosed On?
To understand the foreclosure buying process, you need to understand the reason a home goes into foreclosure. First of all, why do you want to buy a foreclosure over a regularly listed property? It's usually because a foreclosed home is listed under market value and they provide a chance to get instant equity. But why are Logan Utah foreclosures priced below market value?
Foreclosures are priced so low for two reasons. First, the bank wants to get rid of it as soon as possible as they are considered toxic assets. Secondly, the homes usually have major problems and need repairs. The bank doesn't want to make repairs so they will price the property low to entice a buyer into writing an offer.
Almost all foreclosures will need repairs due to the fact that a homeowner who is facing foreclosure can not pay for maintenance. And, by the time the Logan foreclosure goes on the market, the home has been sitting vacant for several months which can create more problems. A vacant home is susceptible to vandalism and larger maintenance issues.
To answer the question, why does a home go into foreclosure? Well, homeowners obviously can't make payments so the bank repossesses the home and it becomes an Logan REO or Real Estate Owned property (bank owned).
Logan Utah Notice Of Default Foreclosure Process
When the homeowner or loan borrower fails to make payments on their mortgage the lender will then file a notice of default. The notice of default must be sent to the buyer within 3 months of the default and it has to be submitted to the county in which the property is located.
A copy of the notice of default must be published for three consecutive weeks in a newspaper circulated within the county. The last notice of sale will be published at least 30 days before the bank sells the home. This notice must be recorded with the recorder where the trust property is located.
When a notice of default is issued a Utah home owner, by law, is allowed a 90 grace period to pay off the mortgage in full. This grace period is known as a pre-forclosure. During this grace period the home owner can try to sell the home. If they owe more than the home is worth, this is usually where a short sale comes into play.
Logan Utah Public Foreclosure Auctions
If they are unable to sell the property through normal means or through the short sale process, the bank will set an auction date. Auctions are public and held on the Cache County court house steps at 135 N 100 W in Logan, Utah. To bid on a house at the auction you must have $5,000 in certified funds and you have to pay the entire amount of the loan within a 24 hour period.
A public auction can be a dangerous way to invest in Logan Utah real estate. You do not have time to do a proper inspection on the property and must buy the home as is. Without an inspection, you could be left with a bad investment with never ending repairs. I would recommend you talk to some experienced auction investors about their process before buying foreclosed Logan investment properties. Auctions are not for the faint at heart.
If, after the public foreclosure auction, the bank doesn't receive an acceptable bid, the bank will take ownership of the Logan property and evict the residents. The property is now called an REO or bank owned home. The bank will hire a real estate agent and place the home on the MLS. These are the Logan properties you see listed above.
So, buying a foreclosure in Logan Utah is going to be a different process than buying a normal MLS listing. Yes, foreclosed Logan Utah homes can be a great deal, but you have to do your homework, otherwise you could buy a home with some major repair issues. I've seen it happen and it's not a fun way to buy new Logan homes.