Expected Addition to Bank Owned Property Listing After Miell Case

by on Foreclosures

The bank owned property listing and real estate offerings of several financial institutions are expected to expand following courts’ approval of several banks’ request to purchase a handful of real estate from the liquidated property business of landlord Robert Miell.

Miell was tried for perjury and mail fraud which resulted in the liquidation of the properties. The properties owned by the landlord ranged from rental structures totaling 461 to small homes to apartment buildings.

According to reports, Miell planned on reorganizing the rental real estate segment of his business to pay his creditors and use the United States bankruptcy law protection to solve his problems. However, a judge gave the order to liquidate the landlord’s assets in October 2009, leading to the properties being passed on to other owners. Six months after the judge’s decision, only 110 of the properties have yet to be passed on to the hands of new owners.

Some of the properties were purchased by real estate investors, while a few went to the hands of renters. Most of them were purchased by banks and lenders that financed his property buying activities.

Among the banks that will likely expand its bank owned property listing is Bank Iowa of New Hampton. The institution was granted approval by the courts in February 2010 to purchase 36 of Miell’s properties that it helped financed.

Meanwhile, Heritage Bank of Marion also got approval from the courts on March 2010 to purchase another 65 properties from the liquidated empire, while Guaranty Bank and Trust of Cedar Rapids is allowed to buy a total of 33 pieces of real estate.

Realtors in Cedar Rapids, Michigan are worried that if the numerous properties would be made available to the market, the business of foreclosure auctions and prices of residential properties in the area will take a beating. They added that it is also possible that dumping these properties on the market will result in rental shortage as more of them became occupied by owners.

The bank owned property listing of several financial institutions will possibly expand following the liquidation of landlord Robert Miell’s real properties. Most of the liquidated assets were purchased by banks as courts provided approval for the buy outs.

Click here to read more about the Robert Miell Case.