TIPS WHEN BUYING FORECLOSED PROPERTIES

A property which has been mortgaged is intended to secure a loan obtained by the borrower. The property owner may be another person and not necessarily the borrower. Usually, the value of the property is much more than the loan itself. When borrower fails to pay the loan or a certain number of installments, the lender, after due demand, forecloses the property. This means, the loan becomes due in its entirety inclusive if interest and penalties, and as such, foreclosure proceedings will follow. After due notice and postings, the date of auction sale is set and the public is invited to submit their bids, in an amount not lower than that indicated in the notice of foreclosure or auction sale.

The highest bidder is issued a certificate of sale. Should the borrower or owner fails to redeem the property within one year from the date of registration or entry of sale with the Register of Deeds, the right to have ownership and title over the property in favor of the highest bidder becomes a matter if right. Consolidation has its costs and taxes which must be settled.

In the same light that a legal redemptioner is entitled to a declaration or certificate of redemption should the corresponding amount be paid, within the one-year period, to get back the property thus foreclosed and sold.

So a buyer may be confronted with three situations here:

1) buying the property under auction, wait for the redemption period to expire and thereafter have the ownership and title consolidated.

2) buying the property from the lender, if it be the highest bidder, after the redemption period and consolidation. Others take the risk of buying it even before the redemption period expires.

3) buying the property from the owner after it had been redeemed.

It would be a different story if the property was bought prior to the auction sale notwithstanding the commencement of foreclosure. In this case, the lender becomes a party in interest.

So, what is the bottomline?

When buying a foreclosed property, the following "precautionary measures" must be seriously and faithfully considered, notably:

1) make sure that the mortgage is valid and registered.

2) verify that the mortgage covers a property actually existing at its location as described in the certificate of title.

2) look at the mortgage contract and insure that all signatures are authentic by exercising due diligence and asking questions with answers to your full satisfaction as to its ownership, powers of attorney, and settlement of estate, if any.

3) check on the initial foreclosure procedures being followed particularly the notice of auction sale, it's issuance and posting.

4) be ready with your money that will not only pay for the amount of the secured loan but also the foreclosure cost and taxes.

5) secure certified documents from their respective sources and compare them with those submitting in the foreclosure proceedings.

6) get complete names and addresses of the borrower, owner and lender, and make sure they are verified by you, and if they are different from what was indicated in the mortgage contract, ask questions.

7) check on court records and make sure the property is not involved in any case.

8) just to reiterate, and emphasize, make an ocular inspection on the property, as the title should not only be clean but also the property itself.

Buying a foreclosed property may be cheaper and more often than not, it is a good choice. But by opting for one, it is prudent to be meticulous about it before handing over your hard earned money in exchange thereof. Many have made the mistake of being attracted to quick "ROI", only to end up being embroiled in a mess.

As in any kind of situation, the facts differ, so are the approaches to address legal issues and concerns. The opinion here is not conclusive. It is best to seek professional assistance by presenting fully the facts and whatever documents you may have.

Divine Instruction To Be Faithful

"So he gave orders to have them sit down in groups on the green grass." (Read Mark 6:34-44)

Many were hungry, and in this gathering Jesus performed the miracle of multiplying the loaves and the fishes.

But note that there is more into this miracle. There was a Divine Instruction to organize. He ordered that the vast crowd be grouped and made to sit down together. After which everyone had their fill.

What can we learn from this?

Other than the obvious reasons that will be mentioned here, one should really stand out, that despite our nothingness and condition (translation: we can't perform miracles since we are mere human beings), all of us can benefit and be shared with, as long as we remain civil, calm and obedient to simple rules of order. 

We are encouraged to interact with other people. We must know how to communicate with others. We cannot be alone by ourselves. We are obliged to know the people within our circle and neighboring aggrupations.

There is so much wealth and resources in this world. Enough to be enjoyed by all. We just need to consider the fact that we can only have what is sufficient for us and not be greedy as to take all for ourselves. Of course, it goes without stating that we should also take care of such wealth and resources.

Next is the fact that there God. The Divine Being Who makes all things possible. Remember, the people in the groups were not just made to sit together to eat. They were there because of their faith. Their belief that Jesus is the Messiah. As they were following Him, necessarily, they were already given the meaning and value if prayer. Thus, it has been said, whenever two or more are gathered in His Name, God will be in their midst. In this case, Jesus paved the way for them to be faithfuls, and not to remain as a crowd. 

Do we count ourselves as among the faithfuls? Or are we merely among the crowd?

Real Estate Forecast 2014

Last December of 2012, I cited three major items that will occur involving the real estate industry in 2013.

First, demands for socialized housing will substantially increase;

Second, agritourism will flourish; and

Third, 2013 is the right time to buy real estate.

I was right and I was correct. 

Despite the destruction wrought by the typhoons, floods and earthquakes in various parts of the country, they did not deter or discouraged us and those affected by them from pursuing such real estate plans. 

Granting there were delays, people would find 2014 as the time to bounce back and recover from such temporary disruptions. This is the year to continue working on prior plans and pursue new ones.

Now for my forecasts this year, 2014 -

First, there will be a demand for construction and related materials for purposes of fortifying existing houses and buildings against super typhoons, floods and earthquakes. 

Second, families, particularly wealthy ones, may either relocate or establish new residences, away from potential disaster areas like coastal settlements or those within the reach of storm surges, tsunamis or tidal waves, and those prone to landslides and sinkholes.

Third, people and investors will be more meticulous in choosing and buying properties. They will look at the history of the property in terms of ownership, documentation, and also the potential risks and dangers involved. They will be on the lookout against possible fraud, among others.

Fourth, high rise condominium will continue to be built as the market is also growing. Many local residents are already thinking of moving in to a condominium upon retirement. People have been opting to become minimalists and environment friendly.

Fifth, in as much as the majority of our country's working population is still comprised of families, subdivisions are still the best choices, also for investment reasons. 

Sixth, farm lots, manageable ones, will have a soaring demand. Inspired by successful agritourism projects in Central Luzon and Southern Tagalog, people are thinking of farming their own vegetables and going into some kind of animal husbandry.

Seventh, going back to the exercise of prudence, buyers will be meticulous in legal documentation. Transactions will be guarded against fraud and risks of being exposed to fraudulent ownership and questionable documents. There will be requirements which will necessitate additional professional services of experts. 

Eight, foreclosed properties and those made available in public auctions may be good buys. But always secure the professional help of licensed brokers or lawyers just to make sure. Remember, take tab of the date of registration of the certificate of sale as it will be the start of counting for the redemption period.

Ninth, investors will continue to be on the look out for big frontages and along the road properties. Obviously for commercial purposes. They are into land banking.

Tenth, a lot of heirs are now seriously working on or maybe, still looking at intestate matters or probate of wills. The reasons are practical. The longer the properties would remain delayed in their succession concerns and obligations, the more complicated and costly it will be for all of them. 

So there you are. The common denominator in all the forecasts is recognizably "pragmatism". There is nothing earthshakingly greedy or luxurious. There is money to spend. But people would want it spent cautiously and wisely. 

Fearless Forecast 2014

Have you ever thought of things that will really never happen in anyone's life, even your own and yet, such products of wild imagination may after all be true or become one, now or in the near future, or perhaps in the past. Then start thinking as you may regret not having prepared for these events or occurrences - which I will dub as the "Fearless Forecast 2014" :

1) The Ring of Fire may cool down for a short period of about three months during summer that will cause snow to fall and cover the pacific rim with ice. After which, volcanoes all over will start to erupt and cover the earth with dusts and smoke, thereby bringing in the new ice age. This may take years of course.

2) Paper money and coins will no longer be accepted the moment the winter season starts. Not even precious metals and stones. Wealth will be measured by the IQ level of the person and people will start to harness energy from their own body and store it for heat and light in exchange for food and commodities. 

3) Nuclear and other weapons of mass destruction will become obsolete, damaged or deactivated by a strange cosmic activity. Suddenly, superpowers are gone. Their carriers, aircrafts and land crafts were likewise disabled. To a certain strange degree, commercial and passenger vessels, airplanes and vehicles are working. Really weird.

4) Old age have become the trend. Geriatric fashion, cuisine and gadgets are in demand. Being young has become a taboo. Everyone has to be sick of something somehow to be in. Despite the old age, the quest for the fountain of youth continues. Vanity of vanities!

5) Synthetic food, artificial sweetener, artificial coloring, artificial flavoring, artificial texture and artificial preservatives have become the hottest fast food items.

6) Global medium of communication is smiling. People have learned to manipulate facial movements in order to communicate. Getting mad or angry has become a capital offense with the death penalty being carried out on the spot. Ours will have a no permit to carry guns  society but we can keep at least one in our homes. There will be no more firecrackers. 

7) Technology will never be the same again. Brains will be wired up to become electronic transmitters for an automated house, automated car, automated learning, automated entertainment, automated purchasing, and of course,  automated elections as well as automating dining and automated emotions.

8) A new international body will be organized to process applications of those intending to migrate to planets of choice where human settlements have been established. Each application would cost approximately one thousand energy chips which is equivalent to twenty thousand push ups.

9) Internet and all related gadgets, hardwares and softwares will be banned for ages 25 and below. This prohibition will include ownership, possession or use of cellphones, tablets, laptops and desktops. Cable televisions shall be regulated and censorship shall be strictly enforced.

10) Solid waste management has become big business with a global treaty and the passage of implementing local laws requiring solid waste to be used as construction materials and also in land reclamation. Meanwhile, all cars which are 10 years old above must be retired and given to solid waste facilities. All houses must have at least 3 levels and be made concrete using solid waste materials that will withstand Category 5 and up Typhoons or magnitude 8 earthquakes including storm surges and tsunamis. All other houses shall be torn down and used by such facilities.

That's it folks! My fearless forecast. As I have earlier forewarned you, they may not happen but they may be bases for future inventions and decisions or even laws that could be passed with certain modifications. Some may be funny but it depends on how you would want yourself to understand them. So let's see what happens next!

By the way, I own the copyright of this blog and thus, contact me for any intended movie or theatrical or entertainment adaptation. This is my 11th  Fearless Forecast. 

VENI CREATOR SPIRITUS

Come, Holy Ghost, Creator blest,

and in our hearts take up Thy rest;

come with Thy grace and heav'nly aid,

To fill the hearts which Thou hast made.

O Comforter, to Thee we cry,

Thou heav'nly gift of God most high,

Thou Fount of life, and Fire of love,

and sweet anointing from above.

O Finger of the hand divine,

the sevenfold gifts of grace are thine;

true promise of the Father thou,

who dost the tongue with power endow.

Thy light to every sense impart,

and shed thy love in every heart;

thine own unfailing might supply

to strengthen our infirmity.

Drive far away our ghostly foe,

and thine abiding peace bestow;

if thou be our preventing Guide,

no evil can our steps betide.

Praise we the Father and the Son

and Holy Spirit with them One;

and may the Son on us bestow

the gifts that from the Spirit flow.

Amen.

V. Send forth Thy Spirit, and they shall be created. R. And Thou shalt renew the face of the earth.

Let us Pray: O God, Who didst instruct the hearts of the faithful by the light of the Holy Ghost: give to us, in the same Spirit, to know what is right, and ever rejoice in His consolation. Through Jesus Christ, Thy Son, our Lord, Who with Thee livest and reignest in the unity of the same Holy Spirit, God. World without end. Amen.

* plenary indulgence when recited on January 1