Buying Foreclosure Real Estate
The Latest Real Estate Foreclosure Buying Information
If you are considering the purchase of any foreclosed property be prepared with cash or pre-approval from a lender for at least what you plan to spend. Offers to purchase foreclosed property must have proof of funds attached.
The term “As-Is” means just that, so do not expect the bank or mortgage holder to make repairs. Sometimes if a home inspection shows a hazardous problem the bank may make a concession but do not expect that to happen.
In South Carolina there are Disclosure laws that cover residential home, condo, and townhouse properties that have been previously owned (deeded to someone other then the builder) but foreclosed properties are exempt from that law so do not expect any background information about the property, appliances (if there are any), age of roof, etc.
Have a home inspection done before you make an offer on a home or condo foreclosed property. Even those who think they know what to look for can miss something that could be a major expense. Since you normally would have to add the cost of repairs to the price you will actually have to pay for the property you don’t want to get in over your head.
A brand new home that has never been occupied could still be a source of costly problems. In this economy many builders have gone under so even new construction should be inspected by a qualified company.
Always remember that no matter what the age of the house, if it has sat vacant for months or years there will more then likely be problems you would not normally encounter. In places with high humidity or near water if the electric has been off or the HVAC was cut off at the thermostat there could be mold growing not just in places it can be seen but inside the walls behind the drywall.
Now that you know some of the facts, find yourself a Realtor and find that great deal.