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How to Read a Foreclosure Ad

The following "Notice of Trustee Sale" represents a sample foreclosure ad that you might find in the local newspapers. The ad is shown on the right. The explanation is shown on the left. Some ads are more detailed and therefore much longer than others. But the typical ad contains the information described below.

 
1. Type of sale

2. Property Address

3. Description of Trust including balance, interest rate, and date.

4. Deed book and page, from the land records, that describe the trust.

5. Location and date of the sale.

6. Legal description of the property, and the book and page that contains the street address.

7. Terms and conditions of the sale. (for example, foreclosure properties are sold in "as is" condition.)

8. Properties are sold at auction as all cash deals with no financing.

9. The deposit is a dollar amount or a percentage of the trust balance. Personal checks are not accepted.

10. The remaining 90% of your bid is due in 30 days.

11. Name of trustees.

12. Name and phone number of the foreclosing attorney. This is your primary contact for property information.

Notice of Trustee Sale
12345 High Plains Drive
Anytown, VA 20000

In execution of a Deed of Trust in the original principal amount of $75,000, with an annual interest rate of 7.5% from Clint E. Wood, dated June 12, 1998, recorded among the land records of the Circuit Court for the County of Sussex in Deed Book 1234, Page 567, the undersigned appointed Substitute Trustee will offer for sale at public auction at the front of the Courthouse Building of Sussex County, located at 890 Ridge Road, Sometown, Virginia, on October 24, 2007 at 11:30 A.M.

The property and improvements thereon, described in said Deed of Trust as follows: Lot Five (5), Block seventy-six (76), Section twelve (12), Sherwood Forest, as the same appears duly dedicated, platted and recorded in Deed Book 2345 at Page 678 among the land records of Sussex County, Virginia.

The foregoing sale shall be subject to applicable liens of record, if any, and to conditions, covenants, restrictions, rights-of-way, easements and reservations, if any, contained in the deeds forming the chain of title thereto. The subject property and all the improvements located thereon shall be sold in their "as is" condition without warranty of any kind.

Terms of Sale: Cash.

A bidders deposit of 10% of the bid amount, in cash, certified or cashier’s check, will be required at the time of sale, with the balance due at settlement, which shall be held within thirty (30) days of sale. Additional terms of sale shall be announced at the time of sale.

John V. Public, Trustee
Jane P. Doe, Trustee
For further information, contact:
John Public at (703) 555-1212
Knowento, Buyem, and Sellem
999 Richman Street
Mytown, VA 20001

 

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