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Foreclosure Home Sale Information for You

Industry Observer

In this post I would like to share with you a couple of good suggestions about purchasing foreclosures. Although some foreclosures can purchased for below market value there are sometimes reasons for that that are unknown to the average buyer. Values for foreclosures are initially set by professionals such as appraisers and real estate brokers. They take into account factors such as age, condition, recent sales, and current listed property prices. What initially appears to be a bargain can turn out to be a bust if you don't do your homework. Number 1, research the market conditions. Ask your agent to prepare a CMA (comparative market analysis) to show you just how it stacks up with other properties in the neighborhood. Secondly, get a professional home inspection. Find out what is wrong with the home. Not just what you can see but things that you can't or quite possibly didn't know to look for. Lastly, be sure that the contract is written to represent your best interest. These are all things that a real estate professional can help you with and will be happy to do so. Buy with confidence and most of all, no regrets!

Ron Jenkins
Athens, TN
Retired Broker

I'm not sure what the UNSIGNED post about BP has to do with foreclosed properties. Maybe he just needed to vent. My apologies for the unpaid political announcement. :)

Jun 10, 2010 06:54 PM
Geoffrey Schiering
San Diego Real Estate Pros, SDRealtyPros.com - San Diego, CA
Top San Diego Realtor Since 1999!

True, foreclosure bargains are not always what they appear.  Remember, by the time a foreclosure property comes on the market it has usually been vacant for a year or more.  The banks aren't required to give complete disclosures because they've never lived in the property.  It is very likely that repairs are needed.  The combination of these factors explains why most foreclosures are priced slightly below market value of similar traditional sales.

Jun 13, 2010 08:11 AM
Paul Gapski
Berkshire Hathaway / Prudential Ca Realty - El Cajon, CA
619-504-8999,#1 Resource SD Relo

yes they look so nice but Foreclosures are such tough on to stomach.

Sep 11, 2011 07:20 PM