Question about buying a foreclosure ..?
Question:
If anyone can give me info. on how this works I woulsd love anything you can tell me good & bad. Thanks.
Answer:
Well I know that a home that has been foreclosed on by an attorney for the lender should have all liens of records released. People avoid foreclosures because lots of times the properties are not kept up. If people can't afford their payments, they probably can't take care of the house either. Before you buy a property like that though, have a title Co. search the records to see if you will get clear title when you buy it. It will costs you money, but save headaches in the longrun.
Most of the cheap ones are dirty and rundown. Bad enough for the homeowner to walk away from it. You can bet they did a little damage on the way out too!
Everyone does buy the good ones some suck and some dont but I traditionally sell 30-50 foreclosed homes a year and you can get some significant savings go to www.best-assets.com or www.showmeomaha.com for Hud homes and links. If you are thinking of flipping in this market with little experience you are asking for disaster. Buy low and move in or rent and sell high when the market coms back Steve Colburn Prudential Ambassador Real Estate
Yes they are but you have a lot of factors involved, I does take money no matter what anyone elses says (if no money might be using your credit but property is not is your name). In that world is does require money so be ready but emial I can give you a bunch of websites for education and tell you all the pitfalls and whats going to work Thanks. good LUCK to you Abel time4loans@cox.net
these homes are sold "as is" and you do not get a questionnaire that the previous owner has filled out about leaking, the roof, extermination etc while they were owning the house. there is no way of telling if it leake, how old the roof is etc. so you are taking a chance when buying a forclosed home.
There are some great deals, and there are horrible deals in foreclosures, just as it would be in any industry. The prudent investor does complete due diligence on the property, and sometimes this is too timely and costly for the ordinary investor. This area is definitely worth looking into as you can create huge profits if you are only willing to do your homework.
Hope this helps...
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Everyone has good advice, but in the end it is up to you. Hud homes are great deals, and so are foreclosures. There are some questions you need to answer if you plan to buy one though.
Can I afford this home?
Can I afford the remodeling, and restoration needed?
Do I have an emergency fund, for unforeseen problems?
Do I have the money to afford sitting on the market for a long time?
Can I afford an Inspection of the home?
What about the title?
Boundary lines?
etc..
As you can see its not as simple as many people think, but if you do your homework and find out what you are getting into before you buy, you will be a lot better off. The problems and dilemmas involved with these properties are why most people do not buy foreclosures or HUD homes. Also, Investors with deep pockets have the upper hand when they can afford to pay a little more for a home.
Research your home and spend the money in the right places before you buy one of these homes. It may save you more money in the end.
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