What Should You Consider When Thinking About Foreclosure Buyer Opportunities?
Buyers must be pre-approved for a loan by a lender.
Source of Down Payment Must be confirmed.
The bank could require that you finance your purchase with them.
Expect competition for your offer. Some buyers bid on multiple properties.
Banks won't accept offers that are contingent on selling your home.
The best deals generally are those properties with the longest time on the market.
Bank-owned homes typically sell at less than their listing price.
Get your own buyer inspection of the property.
Consider the cost of repairs or damaged or missing appliances when bidding.
The bank will make a counter-offer to your first offer.
Some banks will not accept an offer unless it is submitted by a REALTOR®.
The bank will require the use of its own forms for the offer and purchase contract.
Banks generally are looking to sell and close escrow quickly, within two weeks to 45 days.
Posted by Harrison K. Long, Explore Group, March 28, 2008
Source: California Association of Realtors