snakeeyes692003
|
Understand that foreclosure means that because a home owner has become unable to pay the mortgage, the lender takes back the property. The legal steps involved differ from state to state.
Investigate the advantages. Since a bank or other lender wants to recover as much of its investment as quickly as possible, foreclosed homes are often unloaded at significant discounts-- upwards of 30 percent or more.
Find an agent experienced in foreclosures. Some sellers won't accept offers from unrepresented buyers.
Search for foreclosure listings in real estate magazines, newsletters, newspapers and Internet search engines. Call lenders for real estate owned (REO) properties lists of foreclosures. Government agencies such as Fannie Mae (fanniemae.com) and the Department of Housing and Urban Development (hud.gov) also advertise foreclosed homes for sale. Check public records for other leads. A lender deciding to foreclose must file a notice of default in the local county clerk's office.
Tour the property and inspect it as closely as possible. Some foreclosures--unlike fixer-uppers--are in fairly good shape. Others may be behind in maintenance.
Have your agent check nearby or comparable homes to see if the asking price for a foreclosed home is, in fact, a bargain.
Check your credit report and correct any defaults or outdated information. Get prequalified for a mortgage (see How to Shop for a Mortgage). Depending on the agency handling the sale, it may be required.
Find out if there is a listing broker and make an offer.
Check to see if a foreclosed home has any liens on it, such as unpaid property taxes. Find out who is liable for those costs.
Have the home inspected if the seller allows. Some sellers include this as part of the sales agreement, but the buyer still pays for it.
Be prepared to deal with more paperwork with a foreclosure than you would with a conventional purchase, particularly when a government agency is involved.
Overall Tips:
Find out how foreclosure works in your state. Procedures and legal requirements differ, so get a sense of how soon you can go after a home that appeals to you.
Be particularly aggressive in negotiating with a bank. They're very keen to sell a foreclosed home fast, as it's just sitting on their books doing nothing.
HUD and other agencies often auction foreclosed homes. However, buyers are frequently unable to inspect any property before making an offer. With so little information, the higher the bid for the property, the higher the risk that you may end up with a money pit. See How to Buy a House at Auction.
Overall Warnings:
Beware that buying foreclosed property has a very low probability of success for all of the above conditions and because many people try to do it. |
|
HeartlessClown
 |
get a realtor, and express your interest in seeing HUDs. |
|
rcitaw
|
Go online and google in foreclosures for sale or something of that nature. I get stuff like that all the time in my mailbox. |
|
Dharma
|
you will need to go to the county court house or you should be able to go to their besite. Or if you are working with a realestate agent then you can ask them to send it to you email. I am doing the same thing and i just asked my agent and she emailed the link to me. |
|
GRUMPY
 |
Read you local newspaper. They have listing every single day that give house that are going up for forecloser. That is the exact way I got my house 4.5 years ago. And the kicker there is I was renting the second floor at the time. I just happen to see it listed. So I contacted my landlord and made her an offer she did take one week before the auction.I didn't get it free, but I did get a good deal as she got a very good deal. She walked away with a lot of money. Good Luck |
|
baby angel!
|
You may find this web site useful. Introduction to real estate investing on foreclosed homes. Its free, http://www.all-foreclosure.com/howto/howintro.htm |
|
Josh
 |
It depends on if the home is in the middle of foreclosure or already been forclosed on. If it's in the middle then you can propose an offer to the bank in first lien position, they will somtimes let it go for less than is owed, that's known as a shortsale. It's best to get a real estate agent invlolved that specializes in shortsales. If it's already been forclosed on then the trustee is required to post in a local publication when the trustee's sale is to take place. At the trustee's sale you can put in an offer and they basically take the best one, not nessecarily just on price but on your deadlines for financing it yourself and all that. If you have any more questions feel free to email me josh@mvte.com |
|
colosalis
|
just ask advice from a professional or an asset manager. |
|
whytefuture18
|
look buy a home if you think you could afford it buy what you can afford and if you follow people you will go bank rupt Internet research and daily news will help but with god anything possible faith will help to control your mind follow your heart. |
|
cv41662
|
This person has the right idea:
chrissyreimer
3 hours ago
Report Abuse
Hi! Friends of mine bought a beautiful home from people who had to foreclose. As far as I know they went to their bank and between the banks they worked everything out really quickly. The lowballed the offer and the bank took it so they wouldn't have to carry the mortgage themselves until it sold. There were no realtors involved whatsoever. The original homeowners just ran out of money and went bankrupt and my friends were lucky enough to catch it in time. Theirs was the first offer put in and was accepted really quickly. They ended up getting a $300 000.
house for only $179 000.00 two years ago! Good luck! |
|
ArmenianFemale
 |
I don't know a single soul who got a deal on one of these. They are always "sold" to some friend of a friend of a friend of a guy who deals loans and foreclosures at the bank. It's an overblown bag job........ unless the house is in such pitiful state of repairs that a wild pig wouldn't live there.
But then, maybe you'll be luckier than me. |
|
LuvBugg
 |
Funny, i just bought one,.. my closing is next month,..
I did mine thru a realtor. I told her what i wanted and she researched. After i found what i liked we had to put in a 'bid',.. this is different than an offer. You can have many people 'bid' against you, especially investors,.. so your best bet is to go full asking price of the bank.. |
|
Lisa
 |
not from experience but be careful.....you might just piss someone off |
|
almost heaven
|
in your hometown paper look in the legal section...sometimes they will have homes in there where they will auction them off at the court house...thats what they do where i live someone leaves or quit making payments
the courthouse will auction it off to the highest bidder, one guy got a nice 4 yr old modular home for $22,000.00!!
with an arce of land...the home retailed for $69,900.00!!!
Good luck!! |
|
jgmafb
|
Pancha gave the correct answer to this.
You buy a foreclosed home to save money (although she has it confused with tax deliquent).
The very best way though is scout the houses that are going into foreclosure then approach the owner who is losing it.You then find out what it would cost to bring it out of foreclosure and for a little more you work with them.its usually cheaper than banks and realtors,and gives the poor souls money to move on. Back taxes are cheaper buys and usually need more work but like I said cheap,,,,,
We own 54 houses and have never spent more than 2000.00 to take any of them over most all back tax purchases. |
|
golferwhoworks
|
Get in touch with the nearest HUD office. They will accept bids on these properties. You will need a real-estate agent in your neighborhood to show you the inside. They should all have HUD keys for entry. |
|
PANCHA
 |
You can contact your local courthouse, here were I live they have weekly auctions,usually on Saturday.And you will need cash. |
|
theshadow01
|
If you don't have a specific home in mind, call a realtor. They can also get you into most homes in their market area.
A note of caution: we bought a foreclosed home last year. There was a ton of extra paperwork involved, the home had not been well maintained by the previous owner, and had been vacant for 2 years (except for the squatters). We are still making repairs/rennovations.
On the bright side, we got a really good price on the house, so if you are not afraid of a little hard work call a realtor. |
|
five4us
|
I'd like to know that too. |
|
wncan47
|
find out the price then go to the bank.better have a good carpenter to look for termite damage,mold and mildew problems and make sure there arent any back taxes or other monies involved. |
|
KMChickk
|
Contact the realtor and the nearest HUD office. They should give you all the information you need.
--ALOHA-- |
|
oneworshipper50
|
Hi... this is what I do for a living... I buy foreclosures, refurbish them, and sell them for profit... it's very profitable, but take a lot of money to start off with... we typically find all our houses on foreclosure.com you have to buy a membership, but they do have a 7 day trial... we also go to our counties tax assessor's office and ask for new foreclosure listings... best of luck! |
|
pelancha
|
I have experience buying a house in Corpus Christie, Tx, I did it through an agent 15 ago. Nowdays is easier because yo can go directly for example through Yahoo search and you writ for ex. "Foreclosures house in Corpus Christie", you choose the page and go ahead if there are no foreclosuresat that moment try in a nearby city. |
|
cinnomone queen
|
to buy any house u need to kno how to buy a house
http://www.ehow.com/how_110971_buy-house.html
Then to buy a foreclosed home look into this site:
http://www.ehow.com/how_111013_buy-foreclosed-home.html |
|
London Lady
 |
They are usually put up for auction in the UK. |
|
foxxigirl1986
|
Talk to a local Realtor that specializes in foreclosed homes. They will be better help to you than anyone else. |
|
Sun And Sky
|
Have you seen "House of Sand and Fog" WOW that is wierd eh?
Check with your local houseing authority. |
|
sexygyrl
|
Check out this website:
http://www.hud.gov/homes/homesforsale.cfm
Its a government website that gives you several links to check out.
Also, find a realtor that specializes in forclosures. They have a wealth of knowledge and will know the procedures and how to make an offer. |
|
amir_10
|
I feel the best way to find out about foreclousres is find a listing for foreclosed homes on a website that deals with foreclosed homes and contact the seller. |
|
torpex505
|
All of these answers are good, but another thing that you could try is to contact a local Mortgage company. I spoke with one a few months back, but I didn't want the before mentioned "hard work" trying to bring the house back up to standards. They will typically have foreclosed homes of they're own, and the agent said that(depending on the situation) sometimes you can just take over the foreclosed mortgage. |
|
chrissyreimer
|
Hi! Friends of mine bought a beautiful home from people who had to foreclose. As far as I know they went to their bank and between the banks they worked everything out really quickly. The lowballed the offer and the bank took it so they wouldn't have to carry the mortgage themselves until it sold. There were no realtors involved whatsoever. The original homeowners just ran out of money and went bankrupt and my friends were lucky enough to catch it in time. Theirs was the first offer put in and was accepted really quickly. They ended up getting a $300 000.
house for only $179 000.00 two years ago! Good luck! |
|
Reanna
|
What if two people bid the same price? |
|
| |
|
Homepage 
Financial
Forum 
Renting & Real Estate 
No Spam
Adult 
Gambling
Unfinished
Deception
Plagiarism
Not English
