buying DVC through Foreclosure

[TinyTGO]

There are some advantages to acquiring deeds via the foreclosure process, but you have to be aware of what you are getting into. You definitely have to do your homework and be aware of the phrase "caveat emptor" when bidding.
Let me know if you have any questions.

I read the articles you posted. Thank you. I have a question. Are back owed dues not included in the foreclosure settlement? In the article, "Joy" said she was surprised that she owed money for dues as well as a $25 fee and interest after she won the auction. However, it seems like the dues she was speaking of were the current year's dues.

I'm just curious if it's possible you win an auction and the amount covers the liens listed on the judgement, and then you call Disney to find out that you owe 4,000 in back dues, fees, and interest on a 150 point contract.

 

[rg35]

It may eventually all be a moot point for most people, as Disney is now starting to conduct most of its foreclosures via non-judicial hearings. This makes it harder for people to get involved in the process unless they are local.

http://www.orlandosentinel.com/busi...-nonjudicial-foreclosures-20160118-story.html

 

[wdrl]

I read the articles you posted. Thank you. I have a question. Are back owed dues not included in the foreclosure settlement? In the article, "Joy" said she was surprised that she owed money for dues as well as a $25 fee and interest after she won the auction. However, it seems like the dues she was speaking of were the current year's dues.

I'm just curious if it's possible you win an auction and the amount covers the liens listed on the judgement, and then you call Disney to find out that you owe 4,000 in back dues, fees, and interest on a 150 point contract.

I seriously doubt there would be $4,000 in back due, fees, and interest on a 150-point deed, but there may be a few hundred additional expenses you might incur.

Remember, the Notice of Judgment is a snapshot of expenses at a specific point in time, usually four to six weeks before the deed is auctioned. By the time of the actual closing a few more days will have gone by. So the expenses will continue to rise, not exponentially, but they will be higher than what is on the Judgment.

 

[wdrl]

It may eventually all be a moot point for most people, as Disney is now starting to conduct most of its foreclosures via non-judicial hearings. This makes it harder for people to get involved in the process unless they are local.

http://www.orlandosentinel.com/busi...-nonjudicial-foreclosures-20160118-story.html

What rg35 is referring to is Disney's use of the Trustee Foreclosure process to foreclose on properties. This nonjudicial process lets Homeowner Associations bypass the court system in processing cases that are in arrears on mortgage payments and/or maintenance fees.

One of the big practical differences between the Trustee Foreclosures and the foreclosures processed through the judicial system is the bidding process. The Orange County Courts have an electronic auction system where individuals can participate in auctions via the internet. The entire process is done electronically. The Trustee foreclosures, however, are not processed electronically. There is a paper trail of records that are filed with the Orange County Comptroller that can be followed, but the actual bid process is conducted in person in the law offices of Baker Hostetler in Orlando, Florida.

I haven't tracked the data in awhile, but there very few Trustee auctions that receive bids other than from Disney Vacation Development. A third party sometimes makes a competing bid, but its not that frequent. By comparison, many of the judicial auctions do generate competing bids from other parties besides DVD.

 

[TinyTGO]

that's good info wdrl. Thank you for clarifying.