To start the Myrtle Beach SC Foreclosure process the lender must file a public notice of default. Often a mortgage company can file this notice with a 30 day past due period. This past due period varies and can be different between lenders.

With the foreclosure process there is a grace period where the property owner has the opportunity to catch up their payments or refinance. Many times a refinance of this sort is called a “foreclosure bail out”. During this grace period the property is referred to as a pre foreclosure.

Many times the home owner will put this Myrtle Beach pre foreclosure on the market and attempt to sell it to avoid the foreclosure process. If the foreclosure process is completed and the property is foreclosed on the bank can ask for a deficiency judgment and damage the homeowners credit for years to come.

When the pre foreclosure period is over the banks can sell the property at the foreclosure auction. Many times they will purchase the property themselves by bidding what is owed on the property. When this happens the property becomes a Myrtle Beach REOs or a Bank owned property.

Many times at the auction an investor can bid on the property and buy it at a deep discount and get a great deal on a foreclosure property.

Normally in down markets their will be multiple properties sold at one auction. As an investor this keep the bidding down and prices are low.

Pros about buying a Myrtle Beach Pre Foreclosure: it may be possible to find the home owner and avoid competing for the property at a Myrtle Beach Auction. Many times the owner may be will to allow the potential buyer the opportunity to catch up their back payment and take over the mortgage.

Tags: Foreclosures, Real Estate