How to Find Distressed Properties in Ohio

Distressed properties are those that are being sold due to the owner's financial problems. Some are in poor physical condition, and others are perfectly fine. As an investor, finding those that are being sold at less than fair market value but still in good condition is the goal. Being successful at investing in distressed properties is all about finding those gems. You can find distressed properties through many different sources, such as government offices, sheriff's departments, and the courts, as well as public sources like online media, newspapers, realty websites, and online platforms. Use the resources listed below to find distressed properties in Ohio.

When a homeowner fails to pay their mortgage, property taxes, or creditors' bills, the party they owe can foreclose on the property and sell it at auction. The point of foreclosure is when the property is sold at auction. The period before that is called pre-foreclosure, and it's an excellent opportunity for investors looking for distressed property. Property owners in financial trouble may jump at the chance to sell the house even at a lower price to get out of debt and avoid foreclosure. Use the resources below to find distressed homes in foreclosure or pre-foreclosure.

Liens are legal claims on property, often leading to foreclosure and the loss of the home. Mortgage liens are very common, but tax liens, judgment, and mechanic's liens are less common and usually indicate financial trouble. Finding lien properties can lead you to distressed property that sells for less than fair market value. Use the resources below to find distressed property with liens that you could pick up for a bargain.

County Recorder's Offices

Local Ohio county recorders' offices hold property records like liens, and you can search for them online through the county website or visit in person. For example, the Hamilton County Recorder has a listing of the various types of liens they have on file. Use the county recorder office links above or the ones below to search additional locations.

• Lucas County Lien Search
• Ottawa County Liens
• Montgomery County Treasurer Lien Search
• Summit County Lien Search

Ohio Secretary of State

The Ohio Secretary of State also has copies of recently filed liens in the state. You can ask this office for a list of the latest tax liens filed and contact owners to see if they would be willing to sell before the county forecloses on their house.

Ohio Courts

The county Courts of the Common Pleas are where judgment and mechanic's liens are filed and recorded. You can check county courthouses for a listing of recent judgments or mechanic's liens or look online using the county court search feature. A few to check out include:

• Butler County Clerk of Courts
• Franklin County Clerk Liens
• Hamilton County Court of Common Pleas Liens
• Lorain County Clerk of Courts
• Lucas County Lien Search
• Summit County Clerk of Courts

Use a Title Company or Real Estate Attorney

Before a real estate deal, the title company or real estate attorney will do a deep dive into the property, looking for any liens, encumbrances, title disputes, foreclosures, or other issues that could ruin the sale. You can call on these professionals to perform the same background research so that you can find distressed properties that are in trouble, and the owner may be open to selling. Use these Ohio resources below to get started.

Ohio Title Companies

• Ohio First Land Title Agency, LLC.
• Ohio Real Title Agency, LLC.
• Team Title and Closing Services LLC
• Title One Agency
• TitleCo Title Agency

Ohio Real Estate Attorneys

• Carson Law Firm LLC
• Dungan & LeFevevre
• Kohl & Cook Law Firm
• Littlejohn Law LLC
• Mallory Law Office LLC
• Neiman Law
• Northwest Law

Third-Party Online Databases

Another option for searching for distressed properties is to use third-party online databases like PropertyChecker. These databases sometimes allow you to download detailed property records, including lien information.

PropertyChecker is an excellent option for quickly and easily obtaining a complete property report, including value, taxes, liens, foreclosures, and other essential data. You can quickly search using the property address to see if it is in pre-foreclosure or has liens that may lead to foreclosure. You can also search by zip code to view all the pre-foreclosure homes in a specific area.

When someone gets in over their head, they sometimes opt for bankruptcy. During the process, the court may order them to sell off property to free up funds to pay off their debts. Bankruptcy properties and lien property sales are another way to find distressed property that you might want to invest in. These properties could be in great shape and only be discounted and sold due to the owner's financial situation. Some ways to find bankruptcy and lien property sales include:

Search Federal Bankruptcy Court Records

PACER (Public Access to Court Electronic Records) is a federal records system where you can search for bankruptcies, liens, and other federal court filings. To use the system:

• Visit pacer.uscourts.gov.
• Register for a PACER account to access federal bankruptcy filings.
• Search for bankruptcies in Ohio with the U.S. Bankruptcy Court.
• Review the results and refine your search if necessary.
• Find and download what you need.
• Contact the property owner and see if they are interested in selling.

* PACER may charge you a fee to download documents.

Local Ohio District Bankruptcy Courts

Ohio has district bankruptcy courts, which you can visit online or in person to obtain records on recently filed bankruptcy cases. Bankruptcy records are public records and easy to find. Use the links below to see the district bankruptcy courts in Ohio.

• Northern District of Ohio Bankruptcy Court
• Southern District of Ohio Bankruptcy Court

Ohio Department of Taxation

The Ohio Department of Taxation sells tax lien certificates on property that has overdue taxes. The buyers of these liens can pay them off, foreclose on the home, and sell it at auction to get their money back.

County Websites

Tax liens are very serious and usually lead to foreclosure. Counties handle these tax lien auctions and post notices on the county websites. For example, Hamilton County shows tax lien sales along with the details so you can pre-register and attend. Some other counties that advertise these sales on their websites include:

• Butler County Tax Lien Sales
• Clark County Tax Sales
• Franklin County Treasurer Tax Liens
• Lake County Tax Lien Sales
• Muskingum County Sheriff's Office - Delinquent Tax Sales - Foreclosures - Bankruptcy
• Portage County Tax Lien Sales
• Stark County Tax Lien Sales

Multi-Court Voice Case Information System (McVCIS)

You can also call the self-help voice line, Voice Case Information System, at 1-866-222-8029 to get basic information on filings.

Lien Sale Notices in Local Newspapers

Agencies holding lien sales often advertise them in the local newspapers. You may find them in the paper's legal notices area, classified ads, or real estate sections. Use the list of papers above to find what you need. Here are some online notices to get you started.

• Allen County Auditor Sales
• Franklin County Auditor
• Wayne County Sheriff's Sale

How to Monitor Public Notices for Auctions and Sales

• Bookmark your favorite newspaper, auction, or county websites.
• Check them every day for notice of any upcoming tax lien auctions.
• Review the rules of the auction.
• Prepare your finances and have the cash ready.
• Register early.
• Attend the auction.
• Bid and hopefully win.

Attend Public Auctions and Sheriff's Sales

One of the most effective ways to find and buy distressed property is to attend public auctions and sheriff's sales. You can use commercial platforms like the Ohio Sheriff Sales Website or government sources (see above). Use the list of auction resources further down this page to find distressed property to buy. Here are some others:

• Belmont County Sheriff's Sale
• Champaign County Sheriff Tax Sales
• Fairfield County Auditor Delinquent Lists
• Hancock County Sheriff Sales
• Worcester County Tax Sales

Find Information on Upcoming Property Auctions:

• Check out sheriff's office websites, county websites, or local newspapers looking for tax lien sales and auctions.
• Mark your calendar.
• Register online or using the instructions provided.
• Bring cash and attend the tax sale.
• Bid & win.

Use Social Media or Online Platforms

Private companies, government offices, and others use social media to get the word out about upcoming tax lien sales or auctions. For example, this auction house, Auction Ohio | Worthington OH uses Facebook to post alerts about real estate that is coming up for sale due to bankruptcy, foreclosure, or tax liens. Follow your favorite auction houses, realtors, real estate attorneys, and others online so you get alerts when they post something new.

Consult Real Estate Agents and Brokers

Real estate agents and brokers work with all kinds of clients, including those going through tax lien foreclosures and bankruptcy. They may know of some off-market properties and could hook you up with connections before anyone else. Use the list of real estate agents above to get started or find local ones in your area.

Specialty Websites - Distressed Properties

Specialty websites are also a good find when it comes to searching for distressed property due to bankruptcy or tax liens. These sites specialize in advertising unique properties that are for sale far less than market value due to the owner's financial distress. You can narrow down your search using the built-in filters. Some to try out include:

• Carol Goff & Associates
• Foreclosures.com
• Foreclosures Daily
• IDD Real Estate
• LandSearch
• LoopNet
• Ten-X

Hire a Real Estate Attorney

Another way to find exclusive information about bankruptcy homes and tax lien sales is to hire a real estate attorney. These lawyers may have clients who have not yet listed their property but are about to. They could hook you up with a connection not found anywhere else. Cultivate relationships with real estate attorneys specializing in distressed property in your area.

When homeowners face foreclosure but don't want the bank to take their house, they may agree to a short sale. This is when the lender helps them quickly sell their home for the outstanding amount on the loan, plus late fees and interest. Although they are selling well below what it is worth, it helps them avoid foreclosure and gets them out of debt. The bank may pay for advertising, realtors, appraisers, and closing fees to get the job done. Finding short sales is another way to pick up discounted real estate quickly. Some places to look are:

Check Out Bank and Lender REO Listings

When a bank forecloses on property and holds an auction, it can bid as much as the outstanding loan. If they are the highest bidder, they win and own the property. This is called real estate owned (REO) or bank-owned. The banks then need to sell this property. If you contact some local banks, you can ask if they have any short sales or bank-owned property for sale. Ask to speak with the REO or real estate department. Some banks to contact in Ohio include:

• Chase Bank
• Huntington Bancshares
• Bank of America Financing
• Fifth Third Bank
• U.S. Bank Branch
• Belmont Savings Bank
• PNC Bank
• KeyBank
• First Federal Bank of Midwest

You should also contact a few mortgage companies in Ohio to ask about any bank-owned property. Some to check out include:

• Ohio Capital Mortgage
• Western Ohio Mortgage Corp.
• First Ohio Home Finance, Inc.
• GO Mortgage
• Revolution Mortgage
• Equitable Mortgage
• Thrive Mortgage

Find Real Estate Owned (REO) Properties

• Contact one of the banks near you and ask for the real estate or REO department.
• Inquire if there are any available properties for sale.
• If so, make an offer.
• Close the deal.
• Alternatively, you can go online and search realty platforms, auction houses, and HUDHomesUSA.com for bank-owned properties and inquire there.

When someone dies in Ohio, even with a will, their estate must pass through probate. The courts review the will (if there is one) and decide who will act as the executor. The executor ensures that the estate is disseminated among the beneficiaries. Often, the executor or the family will decide to sell property to pay off the deceased's debts or free up cash. Probate properties present an excellent opportunity to invest in distressed property. Use the resources below to find probate properties.

Ohio Local Courts

To find probate records, you should first look at the local probate court in the county where the person died. You can access records through the probate court website or visit it in person. If you request records in person, you must pay a small fee. Some local probate courts to try in Ohio include:

• Butler County Probate Court
• Cuyahoga County Probate Court
• Hamilton County Probate Court
• Franklin County Probate Court
• Lake County Probate Court
• Montgomery County Probate Court
• Summit County Probate Court

Local Obituaries

Another way to locate potential probate properties is to check local newspapers or funeral home obituaries. You can pair the information in these obituaries with other public records to determine who to contact about buying property. Try the sites below to get started.

• Akron Beacon Journal Obits
• Cincinnati Enquirer
• Legacy Obituaries
• Obits Archive
• Rutherford B. Hayes Library Obituaries
• The Columbus Dispatch Obituaries
• Vindy
• Wooster Daily Record

Local Funeral Homes

Local funeral homes are another excellent source for information. These companies work with the deceased's family and may know about the situation and if any property is involved. They might have tips they can share about families who want to sell off parts of the estate, including distressed property. Contact them to see if they can help you find real estate. Use the list below to begin.

• Billows Funeral Home
• Dean's Funeral Home
• Gard Funeral Home and Cremation Service
• Bissler & Sons Funeral Home & Crematory
• Snyder Funeral Homes
• Stombaugh Batton Funeral Home
• Wood-Kortright-Borkowski Funeral Home

Local Private Estate Auctions

Sometimes, families decide to auction off the estate property themselves. You should check the local newspaper for mentions of private estate auctions and check with local auction houses (use the list below) to see any upcoming auctions. These types of auctions may also be listed online through real estate listings.

Local Realtors & Lawyers

Realtors and property lawyers may also know of probate cases or families who have property to sell and who might be willing to sell for less than market value. Contact local realtors and lawyers to ask if they know of any probate properties for sale or some that may be off-market.

How to Buy Probate Properties

• Locate a probate property and contact the seller or executor of the estate.
• Make an offer for the property.
• If the seller/executor accepts the offer, you must petition the court for approval.
• Appear in court for the hearing.
• Work with the court-appointed real estate agent on purchase details, inspections, appraisals, etc.
• You can close and take possession once the court approves the sale.

Real estate auctions are one of the best ways to purchase distressed property. The trick is finding the auctions and showing up on time. You must also register prior to the event and have the cash ready to buy if you win. Some ways to locate real estate auctions in Ohio include:

Private Auction Houses

Government offices, lenders, and creditors use private auction houses to help sell off property. These companies do everything from advertising the sale, collecting registrations, holding the event, collecting the fees, handling paperwork, and closing the deal. Some of these companies even hold online auctions that you can attend from the comfort of your home. Contact the auction houses below to see if they have any upcoming auctions that might interest you.

• Auction Ohio
• Ben Higgins Realty and Auction Co.
• Kiko Realtors, Auctioneers, Advisors
• Ohio Real Estate Auctions LLC
• RES Auction Service
• United Country Real Estate and Auction Service
• Wilson National LLC

State or City Resources

Many tax officials advertise tax lien sales on their own website or sheriff's websites because they often handle all the details. You can check county websites, property-tax-related websites, and other county resources to find notices of upcoming distressed property auctions.

Online Auction Platforms

Another great way to find real property auctions is through online platforms. You can find many different types that offer search filters and other settings to make finding distressed and bank-owned property in Ohio easy. Check out these below:

• Auction.com
• Capital City Online Auctions
• Foreclosure Auctions
• Hubzu
• HUDHomesUSA
• R1 Marketplace
• ServiceLink Auctions
• Tex-X

Local Newspaper Auction Ads

Check your local newspaper ads, realty, and notices sections to find auction sale mentions. Use the list of local newspapers above to get started, or find some online. Many of them have an online version.

Real Estate Agents

Check with local real estate agents to see if they know of any upcoming realty auctions. They may partner with auction houses or sheriff's offices and be responsible for advertising the properties online. They might have exclusive information about off-market properties that will soon be up for auction, giving you an advantage and time to research before the sale.

People sell distressed property most often to recoup their financial losses. This applies to homeowners, lenders with bank-owned property, creditors, and tax officials. Everyone wants to get paid back what they are owed. Other reasons include divorce, needing to move and sell quickly, releasing the financial burden of a too-expensive mortgage, or avoiding having to deal with the upkeep and regular maintenance of the home.

Although distressed properties can be a great investment, they involve some additional risks, such as:

• Hidden Flaws
• Expensive Repairs
• Legal Issues (title issues, unpaid liens, taxes, etc.)
• Complex Negotiations
• Long Wait Times to Close
• Cumbersome Paperwork

Regular homebuyers may shy away from distressed properties, but others will actually seek them out due to the lower price point and opportunity for profit. There may be dozens of different types of buyers of distressed property in many different situations. The most common in Ohio, however, include:

Real Estate Investors

Real estate investors most often buy distressed property to fix up and flip, keep and rent out, or use a model home or example. These investors may buy in bulk or single dwellings. They usually look for houses in good condition that are deeply discounted. Over time, these investments may grow in equity and provide even more of an opportunity. Real estate investors buy one out of every six homes sold in Ohio.

First Time Homebuyers

First-time homebuyers are often strapped for cash and don't have much to put down. Buying a distressed home could improve their chances of finding a larger house in a nicer neighborhood for less. However, they might have to put in some work to fix it up. Financing for a distressed home can be tricky, though. Banks may not want to lend the money unless the value is there. The average first-time homebuyer in Ohio is 35 years old. First-time homebuyers make up 37% of all real estate sales in Ohio.

Nonprofits

Ohio has 59,897 nonprofit organizations. These companies' mission is to improve the lives of others. They do so on a shoestring budget, so when they need a place to operate or to house the people they are helping, they look to distressed property for a bargain. It can still be a deal even if they must fix the building.

Developers

Real estate developers in Ohio must get licensed through the Ohio Division of Real Estate and Professional Licensing. Ohio real estate developers look for distressed property in specific neighborhoods to buy and fix up to increase property values and profit. Sometimes, they purchase distressed property to improve and use as rental units for low-income families or disabled people. Some may use the land to develop luxury properties. A few in Ohio include:

• Schottenstein Real Estate Group
• Premier Development Partners
• Buckeye Real Estate Investments & Services

Wholesale Companies

Real estate wholesalers often pay cash for distressed homes. People in financial trouble will usually jump at the chance to get out of debt and avoid foreclosure, taking them up on their offer even though it may be pennies on the dollar. They usually sell as-is, meaning they don't have to do a thing; they just take the cash. Contact some of these wholesalers to see if they have picked up any deals and want to sell for a discount.

• BiggerPockets
• Deal Machine
• House Cashin
• Ohio Real Estate Guys
• Old Harbor Properties - We Buy Houses As-Is
• Real Estate Bees
• Reonomy