So you want to buy a bank owned home? 

Bank owned homes can be a good buy.  You may also hear the term REO (Real Estate Owned), or Foreclosure home. They all mean the same thing. 

I have sold about a half dozen bank owned homes in the last few months and for the most part it has been a good experience.  Here are some things you should know about buying a bank owned home.

• Banks almost always sell as is.
• Most of the time you will not be provided any inspections
• You will not receive all the disclosures that you would if you were buying from a private party
• Banks have strict time lines and rules
• Your investigative period most likely will be short
• The bank will select the title and escrow companies
• You have the right to have any inspection done that you want but you will have to pay for it
• The banks DO NOT make decisions based on emotions, purely on the numbers.
• You MUST be preapproved for your mortgage

Of course there are exceptions to all of the above but I think they are a good guideline to keep in mind.  In my experience the banks have been open to looking at offers and even paying some closing costs.  They may do some repairs if they are a health and safety issue.  One of the most important things to remember is to follow the banks time line and do exactly as they ask.  Most banks will charge you hefty penalties if you do not close on time, so make sure you have all your ducks in a row.

If you want a list of bank owned homes in Stanislaus or Merced counties  just call or email me with your criteria and I will get it right to you.

Jim Patton    Century 21 M&M and Associates    209-633-2839     www.JPattonHomes.com