An investor that has been buying Palm Beach County homes over the last two years has filed Chapter 11 reorganization for $5.2 million in mortgages.
Assets Overseas, a Wellington-based company owned by Karla Carillo and Estrella Parada Gonzalez, reportedly filed for bankruptcy on Feb. 19.
The company owns 17 homes, most of which were purchased during foreclosure auctions between 2012 and 2014, the South Florida Business Journal reported.
Jeffrey Harrington, the debtors’ lawyer, told the publication that many of the foreclosures came from homeowner association liens, leaving the mortgages behind. This caused property values to become lopsided. His client hopes to reorganize its debt.
While most of the mortgages came with the purchased properties, the company reportedly took out three additional mortgages. [South Florida Business Journal]— Sean Stewart-Muniz