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leslens
03-12-10, 13:06
Does a seller have a right to sell his property if the bank has already issed a writ of possession?

how can a seller negotiate a deal if the bank i assume has first claims to the property?
kingkong1984
03-12-10, 22:22
Why ask here, free legal advice sought?
leslens
03-12-10, 23:09
Why ask here, free legal advice sought?

why cant ask here bro? isnt this a forum to share?
kingkong1984
04-12-10, 01:49
No response here lah, kok kok kok
proud owner
04-12-10, 02:09
why cant ask here bro? isnt this a forum to share?


Becos this forum is for BUY BUY BUY , NEW HIGH NEW HIGH,

RENTAL UP, RENTAL UP ...

SOLD OUT, SOLD OUT ...

Foreclosure ??? nobody wants to hear ...nobody wants to see that word in Singapore property market ...

hence you get no reply ..
Geylang OKT
04-12-10, 05:55
Better to get advice from a qualified legal practitioner, my friend. :D :D :D
zzz1
04-12-10, 12:23
Does a seller have a right to sell his property if the bank has already issed a writ of possession?

how can a seller negotiate a deal if the bank i assume has first claims to the property?

It will be interesting to hear from any bro on such experience, if any.

The buyer' laywer responsibly is to advise the client of such case. They are to ensure the property you intend to buy is 'as good'. However, seller negotiate a deal to sell and bank is withheld of such infomation, the deal may be complicated.

Also you got to note that your engaged lawyer cut off responsiblilty is to advise the 'as good' status, in short, can buy or can not buy. If thing are in order they process sale translaction between the bank, buyer/seller/authority. However many of time, buyers paid the deposit, signed the OTP then engaged the laywer. and this is usualy practise. This is where the complication come in. It is better to engage the your lawyer prior to signing the OTP
kingkong1984
04-12-10, 12:38
Banks will extract a maximum damage. These deals are bad/wrong deals from the start. Want a share of the pie? Buy from bank auctions.
zzz1
04-12-10, 14:13
Banks will extract a maximum damage. These deals are bad/wrong deals from the start. Want a share of the pie? Buy from bank auctions.

When exercising lien or claim on the property of another as security for the payment of a just debt, there are few 'levels'. If remember correctly, the state/banks will received the money first, follows by companys then the last level is individual.

by the time come, if still got excess, individual will properly left only a dime..and sadly to say.. individual are least protected.
amk
04-12-10, 17:17
Does a seller have a right to sell his property if the bank has already issed a writ of possession?

how can a seller negotiate a deal if the bank i assume has first claims to the property?

No he cannot. Terms of the otp, even the simplest one, should contain wording to the effect that the pty is "free from encumbrances".
Wild Falcon
04-12-10, 17:42
If the property is already foreclosed, the bank will sell the property on your behalf. The banks'a main aim is just to claim back whatever it is owed by you and the excess will be given back to you. Therefore sometimes you may find good deals from bank auctions - because the bank is not motivated to sell above whatever it is owed. But I know most banks will still try to get the best price for the owner based on the time frame.


Does a seller have a right to sell his property if the bank has already issed a writ of possession?

how can a seller negotiate a deal if the bank i assume has first claims to the property?
leslens
04-12-10, 20:40
If the property is already foreclosed, the bank will sell the property on your behalf. The banks'a main aim is just to claim back whatever it is owed by you and the excess will be given back to you. Therefore sometimes you may find good deals from bank auctions - because the bank is not motivated to sell above whatever it is owed. But I know most banks will still try to get the best price for the owner based on the time frame.

thanks guys
found out more

the bank legally/ethically must sell at fair value or risk getting sued
however the cost of foreclosure is borne at sale price
hence the cheapest units to be bought are not at auctions
but rather before the unit is claimed by the bank
mcmlxxvi
05-12-10, 10:42
thanks guys
found out more

the bank legally/ethically must sell at fair value or risk getting sued
however the cost of foreclosure is borne at sale price
hence the cheapest units to be bought are not at auctions
but rather before the unit is claimed by the bank

Such units are known commonly as 'fire sales'. Not easy to sniff out unless you are close to the owners on fire.
mcmlxxvi
05-12-10, 10:48
This is one way how you can sniff such deals out. Worth or not leave it to experts in landed. I am not.

http://www.colliersid.com/2040/

"By auction, UNLESS sold by private treaty"
leslens
05-12-10, 14:53
This is one way how you can sniff such deals out. Worth or not leave it to experts in landed. I am not.

http://www.colliersid.com/2040/

"By auction, UNLESS sold by private treaty"

now my question is
assuming a bank has repossessed a unit but not yet put it up for auction

are we able to buy this unit from the bank before they put it up for auction?

since
1. the mortgagee saves on auction costs
2. the bank closes the deal fast
3. buyer gets it cheaper since he doesnt bear the auction costs which i understand can be many tens of thousands
kingkong1984
05-12-10, 15:07
Ah lau mark, stupid questiom, pay the bank a price tat is fair to all. Money rocks and u need to put it where your mouth is.
Geylang OKT
05-12-10, 21:17
If you buy at an auction, remember that it is sold as "as is" condition. Frequently the "caveat emptor" comes into play.

Also, the auction does not feature only "fire sale" houses. Some owners also put their property for sale via the auction process. So donch necessarily think that you are getting a bargain hor :cool: ;) :D
devilplate
05-12-10, 21:42
can forget about auction for now....

even last yr march to may auction also not much gd deals....i can get better deals in open market
kingkong1984
06-12-10, 11:23
yes, auction for bankrupt sales and auction for quick sales.

You get more in auctions during recession. Pay more during economy boom.
acidic.straw
06-12-10, 16:49
Such units are known commonly as 'fire sales'. Not easy to sniff out unless you are close to the owners on fire.

Nong nong ago when I worked in a bank, the head of consumer banking told me he got potential fire sale for a customer who can't pay his mortgage and ask me if I was keen...that time no $$$ :banghead:
devilplate
06-12-10, 17:50
Nong nong ago when I worked in a bank, the head of consumer banking told me he got potential fire sale for a customer who can't pay his mortgage and ask me if I was keen...that time no $$$ :banghead:

tat head aso no $$$ to buy himself?:beats-me-man:
vip
06-12-10, 21:53
The answer is that the repossessed property is now under the Official Assignee.

One of my properties is a bank sale I bought 7 years ago.

The condo unit was auctioned many times but no taker. I waited till the bank gave up selling it at auctions (so I don't have to pay 10% on the spot).

Usually these bank sale units are marketed by 2 or 3 property agents. You can negotiate much lower than at auctions because the bank is now more eager to get rid of it.

Pls note that bank sale is "sold as it is". All the terms and conditions in the contract are fixed by the bank. Nothing can be changed by your lawyer.

P.S. The unit is now more than doubled in value. So the strategy of buying foreclosure is "find good quality units with dirt cheap prices and buy at the right time".