Know how to buy foreclosed property
Buying Foreclosed Real Estate
|Before You Buy a Home|
How Do I Find Foreclosed Homes?
Does anyone know where can I find out information about bank foreclosures. I've tried to subscribe to some web sites for that, but just wasted my money. There should be some place to get that information for free. Thank you!
Foreclosed Insider Advice
I was a California foreclosure supervisor for over 20 years before moving on. Depending on what state you are in determines the time limits on the actual sale of the property back to the bank or mortgage company or to a third party. However, all sales have to be published in a local newspaper for a specified number of times, prior to a sale, and are a matter of public record at the Recorder's Office for the County. Since the amount of foreclosures and sales reverting to bank and mortgage companies has greatly increased over the years, most mortgage companies and banks now will release what they have available if you simply call banks or mortgage companies and ask for the R.E.O. Department. They need to get these properties sold as it costs them money to maintain and inspect the properties every month, and is usually a losing proposition for the company. Otherwise, prime, easy-to-turn properties are bought at the actual sale by third party bidders who have access to a great deal of cash because you must have cash or a cashier's check sufficient to beat the company's bid at the actual sale. There are still lots of opportunities out there.
County Foreclosure Sales
When looking for foreclosure sales that are pending, go to the Sheriff's Department, Civil Division, for the county that you are looking for property in. They will have a book with the pending foreclosures in it. If your local department does not have this, they will be able to direct you to someone in your county that does hold this information.
Free Listing of Foreclosed Homes
A free way to find foreclosed properties for sale is by visiting the Housing and Urban Developement site: www. hud.gov. They list foreclosed properties at no fee. Also, may real estate agents specialize in foreclosures. They can give you a free list of properties in your area.
Foreclosed Web Resources
Try this page for major bank owned properties: www.all-foreclosure.com/reolist.htm. This page is free and will send you e-mails when new listings become available in the areas that you are interested in: www.towercom.com
Use Real Estate Agent to Find Foreclosed Homes
Ivan C should be aware that the first notice for pending foreclosures is the legals in the local newspaper. Every state is different in their foreclosure procedure. However, foreclosures, like other sales aren't all that they are cracked up to be. You face a tough seller (the bank) who isn't at liberty to convey the property until it has been to the courthouse steps or unless the seller has conveyed it back to the bank in lieu of foreclosure.
Another problem with bank foreclosures is that they want to "add" all the attorneys/foreclosure fees to a market value. After all, they won't lose money. You also run the risk of buying a home with lots of problems. Historically, troubled sellers have a way of destroying the property or stripping the interior (I guess out of spite) before being forced out. Banks may or may not repair/replace items depending on who runs that department. They will add the cost of repairs or replacements back on to the price.
Ivan would be much better off to establish a good working relationship with a Realtor who could keep him apprised of troubled sellers. Or, he could watch the For Sale By Owners in the newspaper for "must sell now" ads, before the seller has gotten that first foreclosure letter.
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