Livewire Ergogenics Inc (LVVV)

[jrf30]

I don't care either way on this argument you guys are having. But I do have a bit to add on a correction of something you said.

"I am not sure if you own any real estate but the owner/buyer is responsible to pay them, not the mortgage/lien holder."

I am the lienholder of a mortgage in Florida. And as the lienholder, I just last week paid the taxes on that property. So yes lienholders CAN pay the taxes.
Why did i do it? Because the tax lien holder was getting close to the timing to be able to foreclose on the property. If the tax lien foreclosed, I would have lost my position and they would own the property free and clear. So, as my mortgage states and allows, I paid the taxes, I threw the borrower into default (Which raised my rate significantly. A positive for me) and they now owe me the paid tax money ($30K in this case for 3 years of taxes) in addition to the principal owed. All earning a higher rate of return.

They are now working on a refi, to get their rate back down. Until it happens, and it will be tough with the notice of foreclosure already filed, they will pay the higher rate. If worse comes to worst, and it goes to foreclosure sale at the courthouse steps many months from now, then my opening bid as the lender will be the mortgage due plus the tax bill paid plus accrued interest from now until then. Which is still about $160K less than it is worth, so it will be bought by some third party bidder at the auction and I'll get paid off for the entire mortgage plus the taxes plus the higher rate of return between now and then. I don't think it will go to foreclosure, since there is so much equity, but for now, I've paid the taxes and that amount is owed to me the lender in addition to the mortgage, all at the higher rate.

So yes, a lender CAN and WILL pay the taxes when it is close to the foreclosure date for the tax lien holder. As I thought it was LAST year for Bill, since this is a commercial property and was past the required holding date for the tax lien owner to start foreclosure. FYI. Again - don't care either way, but wanted to let you know it does happen. Rare, but it happens.