Buyers Beware When Considering Buying Foreclosures

Real Estate Agent with Berkshire Hathaway HomeServices 01238708

Buyers Beware When Considering Buying Foreclosures!

  All first time home  buyers should be very cautious when considering buying a Bank Foreclosed Property(REO). Many people get excited that they want to hit the jackpot by buying a Foreclosed home. Needless to say there are some truly great opportunities out there.

  At the same time common sense should prevail. Do the research about the neighborhood, schools and market prices. Do inspect the home; banks are not required to let you know about defects. Have your financing ready.

 Be prepared that the banks have priced the home generally a great deal under market value; hence it will not be a buyer's market when it comes to the property. Be prepared to be in a multiple offer situation.  Banks do not negotiate with Counter Offers. Submit your best and final offer in the beginning, then just hope for the best that you will get the property.

 If there are few foreclosed properties in the neighborhood do not think you will get the property for pennies on the dollar, be happy that you may get it for less then market value.

 The goal should be that you like the home and you want to live there not to hit the Jackpot. Do not buy impulsively, after all this will still be one of your largest dollar value purchases in your lifetime.

 Contact a Realtor, someone who is seasoned and can walk you through the challenges of the purchase. Keep in mind with these tips you will come out as a winner.

 If you are a consumer  who is considering buying  or selling  a home, investment real estate, vacation homes, or beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Culver City, Marina Del Rey, Venice or Malibu. Feel Free to give me a call at 310.486.1002 (USA) or email me at  or visit one of my websites at  Your Pet Friendly Realtor. I contribute a portion of My commission to Local Animal Rescue Organizations.  


Comments (4)

Haris Dedic
RE/MAX Villager 847-878-2588 - Glenview, IL
Glenview Real Estate - Chicago North Shore

Endre ~ Great advise. So many buyers can be disappointed because the price was different, the website they signed up on did not have accurate info, and the list goes on.  Realtor is the best resource you will get.

Dec 13, 2009 10:50 AM
Toula Rosebrock
Diane Turton, Realtors, Forked River, NJ - Lacey Township, NJ
Broker/Sales Associate, Realtor, Lacey Township,

ToulaRosebrock,comHi Endre:

All great points that need to be shared with buyers who are considering buying a foreclosure...

Dec 13, 2009 11:03 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Haris, good points I did not even address the various bogus websites related to Foreclosures...

Dec 14, 2009 05:28 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Toula, this post was prompted by a call from one of my potential forclosure buyers. Thank you for dropping in.

Dec 14, 2009 05:29 PM