5 Tips for Foreclosures

5 tips for Foreclosures

It is important for you to use a good realtor; realtors with at least 5 yrs experience and preferably one that has a proven track record of working with foreclosure sales.

Foreclosure sales are sold as is and home inspections are a home necessity. The money you spend on inspections may save you ten of thousands of dollars later. 

 People assume that the same financing options are available for foreclosure properties as all other properties.  The truth is property conditions are being evaluated by lenders more closely than ever. Certain properties may not be eligible for financing. Review the property condition with your lender up front.

As a general rule, sellers of foreclosed properties including banks, mortgage companies, Fannie Mae, Freddie Mac, HUD, etc….will not accept an offer that is not submitted with a pre approval letter.  It is imperative that you are re pre approved up front.

Real Estate property taxes are may times under estimated in the preliminary research when buying a foreclosed home.  You may have gotten a bargain price on the home but the sticker shock can arrive wit tax bills.  Be sure to take the actual property taxes into account when budgeting for your new payment.