What does upset mean in foreclosure?

Contents

1 What does upset mean in foreclosure?
2 How does a foreclosure bid work?
3 What is a Commissioners deed in NC?
4 When does the upset bid period start in North Carolina?

What does upset mean in foreclosure?

upset price
Before a sheriff’s sale, a lender will carefully calculate its “upset price” – the amount that the lender is owed by the borrower. Usually, the “upset price” is the sum of the outstanding mortgage and any interest and fees and other costs accumulated since the start of the foreclosure process.

What does upset period mean?

An upset bid period is a time period that exists after a foreclosure sale. In North Carolina, after the sale of a property in a foreclosure there are ten (10) days for another party to offer a higher bid on the property or for the owner of the property to file a bankruptcy to stop the foreclosure.

What is a 10-day upset bid in NC?

North Carolina has a 10-day upset bidding period, so any buyer has 10 days to outbid the current bid even after an auction ends. Each time a new bid is placed, the 10-day period restarts. As a buyer, this can be time-consuming to monitor.

How does a foreclosure bid work?

At the foreclosure sale, which is an auction, the lender will usually make a “credit bid.” With a credit bid, the lender bids the debt that the borrower owes. Basically, the lender gets a credit in this amount. The lender can bid the full amount of the debt, including foreclosure fees and costs, or it might bid less.

What is the upset price at a foreclosure auction?

Upset Price Definition The upset price for a foreclosure sale is the absolute minimum the seller will accept. The officer conducting the foreclosure receives instructions not to sell the property for anything less than the minimum or reserve price.

What does upset bid mean?

(a) An upset bid is an advanced, increased, or raised bid whereby any person offers to purchase real property theretofore sold, for an amount exceeding the reported sale price or last upset bid by a minimum of five percent (5%) thereof, but in any event with a minimum increase of seven hundred fifty dollars ($750.00).

What is a Commissioners deed in NC?

A Commissioner’s Deed is executed and recorded in the real property records where the real property is located. The commissioner issues a deed to the purchaser upon receipt of the entire amount according to the terms of the sale.

What happens if your bid is upset on a foreclosure?

They must raise the accepted bid by a minimum of 5% and include a cash deposit of 5% of their bid price. If you are outbid or your bid is “upset”, the process begins again and another higher bidder has 10 days to make a better offer.

What does upset bid mean in real estate?

When does the upset bid period start in North Carolina?

In North Carolina, after the sale of a property in a foreclosure there are ten (10) days for another party to offer a higher bid on the property or for the owner of the property to file a bankruptcy to stop the foreclosure. The 10 days start the day after the foreclosure sale date. Weekends and holidays are included in that 10 day period.

What happens after 10 days of upset bid?

This starts a new upset bid period, so the 10 days starts running again. This process goes on until 10 days have elapsed without the bid being upset. At that point, the sale confirms to the high bidder and the rights of the parties become fixed.