How to Find Distressed Properties in Missouri

Distressed properties are those that are sold for far less than fair market value due to various reasons. Some are in perfect condition and distressed because the owner is in financial trouble. Others have fallen into disrepair due to neglect or failure to keep up with regular maintenance or upgrades. Distressed properties can be an excellent investment if you can find the right ones that need very little TLC or upgrades before you can sell them. Finding these properties is the key to being successful. Public property records have a wealth of information about properties and can lead you to distressed options. You can find these records with government agencies, law enforcement departments, newspapers, law firms, realtors, and auction sources. Use the detailed resources below to find distressed properties in Missouri.

Most distressed properties end up in foreclosure. Before the actual auction, you can also find pre-foreclosure properties (some off-market), which can be a great option. The pre-foreclosure period is when the owner has some time to figure out a solution and may be very motivated to sell privately. Finding foreclosure auctions or pre-foreclosure homes can open up many opportunities for you. Use the resources below to find foreclosure homes and pre-foreclosure opportunities.

Liens are legal claims on property for a debt, unpaid taxes, or outstanding loan balance. Most homeowners have mortgage liens, but when a property amasses additional liens like tax, judgment, and mechanic's liens, it indicates serious financial trouble. You can search for lien properties to find possible investment opportunities. You can find properties with a lien in Missouri in the following ways:

Missouri Department of Revenue

Tax liens are orchestrated by the local county tax official (tax assessor/collector), and a copy goes to the Missouri Department of Revenue. You can contact this office and request a list of the most recent tax liens and upcoming foreclosure auctions.

County Recorder of Deeds Offices

Mechanic's liens are recorded with the county recorder of deeds offices. These offices also have foreclosures, deeds, and mortgage records. You can visit these county offices in person or search their website to find liens. Some record search options include:

• Boone County Property Search
• Cass County Record Search
• Christian County Record Search
• Cole County Record Search
• Greene County Real Estate Search
• Jackson County Recorder of Deeds Property Search
• Jefferson County Property Search
• Newton County Search
• Saint Louis County Property Search
• St. Charles Land Search

Missouri Courts

Judgment liens are filed through the Missouri circuit courts. These courts have case records that are open to the public, and you can find recently filed judgment liens and contact the property owners before the lienholder forecloses and sells the property at auction. This is an excellent tactic for finding quality lien properties. Some Missouri circuit courts include:

• Cass County Circuit Court
• Clay County Circuit Court
• Cole County Circuit Court
• Greene County Circuit Court
• Lawrence County Circuit Court
• Scott County Circuit Court
• St. Charles County Circuit Court
• St. Louis County Circuit Court
• Texas County Circuit Court

Missouri Secretary of State

The Missouri Secretary of State is also a government agency with a wide range of duties. It maintains a library of documents, including copies of liens, foreclosures, and other public property records. You can contact this office by mail, phone, or in person to request copies of tax lien records and then contact the property owners.

Use a Title Company or Real Estate Attorney

Title companies and real estate attorneys perform an essential function during the sale of property. They perform a deep background search into the property before it can close. Their goal is to find any title defects, liens, other encumbrances, or legal issues that could affect the buyer after the sale. You can hire these professionals to run this same search for you, looking for properties that might be in trouble with a motivated owner. Use the links below to find and contact local Missouri title companies and real estate lawyers.

Missouri Title Companies

• All County Title Company
• Audrain County Title Co
• Midwest Title & Escrow LLC
• Missouri License & Title Agency
• Missouri Secured Title
• Monarch Title Company Inc.
• Western Missouri Title Co

Missouri Real Estate Attorneys

• Home Sweet Legal
• Kansas City Real Estate Lawyer
• Hamilton Webber LLC
• Marc Jacob, Esq
• Ozarks Legacy Law
• Sewell Law
• St. Louis Real Estate Lawyer
• The Law Offices of Lance Loewenstein, P.C.

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.

Bankruptcy is a last resort for many people in financial trouble. Taking that step can have long-term consequences. The process is court-based, and a judge will appoint a manager to help the person pay off their debts. As part of the process, they may require selling property to free up cash to pay off debts. You can find bankruptcy properties through the following methods and acquire distressed property that way. You can also look for lien property sales in Missouri, which are advertised in a variety of ways. Some places to look are:

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 Missouri 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 Bankruptcy Court in Missouri

Bankruptcy occurs in federal courts, and each state has district courts to handle bankruptcies. You can visit these courthouses in person or check their website and search for court cases there with property. Use the links below to get started:

• Eastern District of Missouri Bankruptcy Court
• Western District of Missouri Bankruptcy Court

Missouri Department of Revenue

When counties impose tax liens on property, they hold auctions to sell it off. These auctions are advertised on the Missouri Department of Revenue website and other government sites. You can contact this office to find out when the next auction will take place.

County Websites

Different county offices handle tax lien sales. Sometimes, the county tax assessor/collector takes the reigns; sometimes, it's the sheriff's office or recorder of deeds office. You can find mention of these auctions in various places. Use the links below to get started:

• Benton County Tax Sale
• Boone County Real Estate Tax Sale
• City of St. Louis Tax Sale
• Clay County Tax Sale
• Cole County Delinquent Tax Sale
• Greene County Tax Sale
• Jackson County Delinquent Tax Sale
• Morgan County Delinquent Tax Sale
• St. Charles County Tax Sale
• St. Louis County Real Property Tax Sale

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

People holding lien sales advertise them in local newspapers as well as online. You can check your favorite paper and pay close attention to the real estate, classifieds, and public notice sections to find mention of upcoming events. Be sure to register early and show up with cash. Use the list of Missouri newspapers above to get started.

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

Acquiring real estate is a numbers game. Attend as many public auctions and sheriff sales as possible to find good-quality properties. Use the list of auction resources further down this page to find public auctions, and use the links directly below to find sheriff sales in Missouri.

• Barry County Sheriff Sales
• Boone County Sheriff Sales
• Butler County Sheriff Sales
• City of St. Louis Land Tax Sales
• Clay County Sheriff Sales
• Harrison County Sheriff Sales
• Jasper County Sheriff Sales
• St. Louis County Sheriff Sale

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

Many people use social media and other online platforms to promote topics of interest, such as distressed property or off-market opportunities. You can often find groups like this Distressed Properties for Sale Facebook group. You can also follow people of interest, such as title companies, realtors, government offices, or lawyers who handle distressed property and lien sales, to get notified of new posts and available options.

Consult Real Estate Agents and Brokers

Real estate agents have their finger on the pulse of the distressed market and could help you. Contact local Missouri real estate agents to ask about upcoming lien sales or bankruptcy properties. You can start with the list below:

• Home Sweet MO Properties
• Matt Smith Real Estate Group
• Missouri Home, Farm, and Land Realty, LLC
• Missouri Home Realty
• Missouri Real Estate of the Ozarks LLC
• Southern Missouri Homes and Farms LLC
• Springfield Realty Group
• Triple Creek Realty

Specialty Websites - Distressed Properties

Use Google to search for distressed property or tax lien sales, and you may find some unique websites offering listings you have never seen before. The internet contains obscure, unheard-of resources that could help connect you with just the right properties. Try some of these below:

• 16th Circuit Court of Jackson County Delinquent Land Tax Sales
• Miller County Collector
• Missouri State Tax Commissioner
• MyTax Missouri
• Newton County Tax Collector
• Taney County Collector
• Tax Title Services Liens
• Texas County Tax Sales

Hire a Real Estate Attorney

Consider hiring a real estate attorney to work exclusively for you and find bankruptcy and tax lien properties. These professionals work with all types of clients, including those going through financial issues and bankruptcy. You could get leads on off-market properties and beat the competition to the punch. Contact some of the real estate attorneys listed above to begin.

When a homeowner cannot pay their mortgage, the lender may begin the foreclosure process with a "notice of foreclosure." This gives the property owner some time to find a solution. If mitigation efforts fail, the lender may suggest a short sale. The bank will help finance advertising, realtors, and other expenses related to selling the house. The house may be listed for the outstanding loan amount plus interest and fees, selling it quickly to pay off the debt. It serves both the homeowner and the lender. You can find short sales through banks and mortgage companies.

Check Out Bank and Lender REO Listings

When a bank forecloses on a property and then tries to sell it at the auction but fails, and they are the highest bidder, they own it. The property becomes real estate-owned (REO) or bank-owned. Banks don't want to own property; they want their money back. Therefore, they will try to sell it as quickly as possible in another auction or privately. You can contact these banks and ask to speak to their real estate or REO departments to see if they have any property for sale. They may also share information about property owners in the process of foreclosure so you can find some off-market properties. Some Missouri banks to start with include:

• Central Bank
• First State Bank of St. Charles
• Mid-Missouri Bank
• Northeast Missouri State Bank
• Regional Missouri Bank
• Royal Banks of Missouri
• Southern Bank
• The Missouri Bank

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

• Carlson Mortgage
• Flat Branch Home Loans
• Gershman Mortgage
• Integrity Mortgage of Missouri
• Mortgage Headquarters of Missouri
• Mutual of Omaha Mortgage
• UMortgage Springfield
• USA 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 people die in Missouri, their estate will go through probate. The courts will review the will (if one exists) and ensure that all the deceased's debts are paid and the remaining assets are distributed to the rightful heirs. You can visit Missouri courts to ask for copies of recent probate records (which are public records) and then discretely contact the family or court to see if they want to sell. Use the following methods to find probate properties in Missouri.

Missouri County Circuit Court

Probate in Missouri is handled by the county circuit court, probate division. These courts are available during regular business hours, and you can visit them in person to speak with the court clerk and ask for records. They may charge you a per-page fee. You could also use the county circuit court website to search for records. You might need the deceased's name or case number to access them. Try some of these courts to get started:

• Clay County Probate Department
• Cole County Probate Court
• Greene County Probate Court
• Lafayette County Probate Court
• Macon County Probate
• Lawrence County Probate
• St. Charles County Probate
• St. Louis City Probate Court
• St. Louis County Probate Court

Local Obituaries

A creative way to find Missouri probate properties is to regularly check local obituaries and marry that information with other public records. Once you find out who the family is, you can contact them to see if they want to sell. Some local obituary resources include:

• Cremation Society of Missouri
• Legacy
• Missouri Death Index
• ObitsArchive
• Springfield News-Leader Obituaries

Also, check out funeral home obituary listings like these:

• Ford & Young Funeral Home Obits
• Ledford Family Funeral Homes Obituaries
• White Funeral Home and Crematory - Obituaries

Local Funeral Homes

Local funeral homes can also be a great way to connect with families of recently deceased individuals. These companies work closely with families and sometimes get to know the whole story. Some will have information about families with property they want to sell. Contact some of those below to see if they have anything to share:

• Barnes Family Funeral Home
• Bell Funeral Home
• Clinkingbeard Funeral Homes, Inc.
• Fenton-Kendrick Funeral Home
• Ozark Funeral Home Inc.
• Reser Funeral Home
• Royer Funeral Home
• Windmill Ridge Funeral Services

Local Private Estate Auctions

After a loved one dies, the family may choose to auction off their property and belongings in a private estate sale. You can find these by driving around or through ads in the newspaper, social media, or other public websites. Registration may not be needed for these; you can show up and attend. If you bid the highest, you win.

Local Realtors & Lawyers

Local Missouri realtors and lawyers are great resources for finding probate properties. These real estate professionals work with families after someone dies to help settle the estate or sell property. If you get lucky, you might find some off-market properties this way, and you won't have to compete. Use the lists above of realtors and Missouri real estate lawyers to get started building your network.

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 land distressed property. Everyone from the courts, government offices, sheriff's departments, lenders, creditors, private citizens, realtors, and attorneys holds these auctions to offload distressed property. The trick is finding as many as possible, attending, and bidding high enough to win while still making a profit. Use the list of resources below to find real estate auctions in Missouri.

Private Auction Houses

Lienholders holding auctions sometimes hire private auction houses to collect registrations, hold the event, and handle the transfer of funds and property. These companies are experts at marketing auctions and handling all the details. Some private auction houses used in Missouri include:

• Adam's Auction & Real Estate Service
• Atterberry Auction & Realty Company
• Buffalo Creek Auctions
• Crates Auction & Realty, Inc.
• Enyeart Auction & Realty
• Mayo Auctions
• Scotty's Auction Service - Farm Auctions
• Trophy Properties & Auction
• West Central Auction Company
• Wheeler Auctions & Real Estate

State or City Resources

You can easily find real estate auctions through government websites like the county recorder of deeds, sheriff's department, tax assessor/collector, department of revenue, and even the secretary of state website. Try some of the resources above or check out the ones below to find auctions in Missouri.

• 16th Circuit Court Jackson County DLT Sale
• City of St. Louis Land Sale
• Jefferson County Land Sale
• Missouri State Treasurer's Office
• MO.gov Public Auctions
• United County Auction Service
• U.S. Department of the Treasury

Online Auction Platforms

Online auction and realty platforms offer another great way to find real estate auctions. These platforms allow you to search easily using filters and specific criteria to find exactly what you need. Some delineate foreclosure properties or bank-owned into their own category. You can use these powerful search engines to locate distressed property in Missouri. Try some of these below:

• Auction.com
• Bid4Assets
• Hubzu
• LandSearch
• LoopNet
• RealtyTrac
• Ten X
• Xome

Local Newspaper Auction Ads

Real property auctions are frequently mentioned in newspapers. Check your favorite local newspaper's classifieds, real estate section, and public notices to find auctions and register to attend. Use the list above of local Missouri newspapers or look for others either online or in real life.

Real Estate Agents

Real estate agents often handle auctions for their clients. They may also be networked with some auction houses and other resources you could use by connecting with them. Use the lists of real estate agents, firms, and brokers above to find some to connect with and partner with to locate distressed property auctions.

Owners of distressed properties (individuals, banks, government agencies, companies, etc.) sell them to recoup their financial losses. Often, the debt owed on the property is far less than it is worth on the open market, making it an appealing investment for some with the resources to buy it and turn it around quickly. Couples getting divorced and those needing to move abruptly also sell distressed property to move it quickly. For some, the upkeep and maintenance become too much, so they sell the property to avoid making upgrades or changes. Sometimes, distressed property is sold by families of loved ones who have died.

However, buying distressed properties is not without risk. Consider these issues before purchasing a distressed property.

• Hidden Costs: Distressed properties are often bought sight-unseen, and some come with hidden costs, such as liens that need to be paid off, title disputes, and expensive closing costs.
• Poor Condition/Required Maintenance: Many distressed properties have been neglected and may suffer from foundation or roof issues, mold, plumbing or electrical problems, or structural damage that is costly to repair before you can sell.
• Legal Issues: If the house is named in any legal battles or has liens, back taxes, or title issues, these can be tricky to resolve before you can take ownership and sell the property.
• Financing Challenges: Banks are often reluctant to finance the purchase of distressed property, so you may have to raise the cash yourself to buy it.
• Market Risks: The house could be located in an area with declining values, and you could overpay for something quickly losing its value. It may be years before you can sell it and make a return on your investment.
• Fast or Long Transaction Times: Sometimes, you must act quickly to buy the distressed property, overlooking potential issues. Other times, the sale could be delayed due to foreclosure or short sale issues.

Not everyone will think buying distressed property is a good idea. It can be risky and take extra time; you never know what hidden surprises lurk below the surface. However, some people actually seek out distressed property to save money and skillfully make a profit. The most common types of people who buy distressed property in Missouri include:

Real Estate Investors

Like-minded real estate investors search for distressed property that is in good shape and only sold for less due to the owner's financial troubles. They scour auction and realty listings to find that perfect opportunity. Some may be willing to work with you and share tips and leads. Contact some Missouri real estate investors to see if they would be willing to partner up so everyone wins. Here are some examples below:

• Griffin Funding
• Invest St. Louis
• Independent Home Finance
• MAREI
• Rockbridge Real Estate
• Stormfield Capital

First Time Homebuyers

First-time homebuyers typically have little cash to put down on a new house. Therefore, they sometimes turn to distressed property to stretch their dollars further. They can make an offer on a distressed property that needs a little work and get into a larger, nicer home in a good neighborhood for less. After fixing up the place, they could sell it for a profit in the future. Roughly 24% of all homebuyers in Missouri are first-timers.

Nonprofits

There are 38,460 nonprofit organizations in Missouri. These companies attempt to improve the world by helping people. However, due to the nonprofit nature of the business, they don't often have a lot of cash, and budgets are tight. When they need commercial or even residential property, they may turn to distressed property to save money. Even if they have to invest a little to fix it up, it may still be worth it.

Developers

Real estate developers also look for distressed property deals to fix up entire neighborhoods and turn a profit quickly. Some buy multiple properties and use the land for a specific purpose. Others may want to create housing for low-income families, veterans, or the disabled population. These land developers are an excellent resource for finding distressed property deals. Some to keep an eye on are:

• American Realty & Development
• Briarcliff Development Company
• Elevate
• Land Dynamics, Inc.
• Northpoint Development
• Ridgehouse Companies
• Sallee Development
• Star Development

Wholesale Companies

Real estate wholesalers offer cash for houses. They contact people through many of the methods listed above and make offers to people in financial trouble. They don't require that the homeowner do anything, make repairs, or upgrade, which can feel like a breath of fresh air to someone struggling. These companies offer low and then fix the places up to sell high. Some Missouri wholesale companies are:

• Ark7
• BiggerPockets
• Connected Investors
• Dealulator
• House Cashin
• New Western
• Loot ZA
• Real Estate Bees