Some Americans Will Buy Their Next Home From The U.S. Government

As a result of rising foreclosures, some Americans will buy their next home from the U.S. government. The recession and economic downturn have caused the largest number of foreclosures in recent history. While many people think that banks own most of the foreclosures, many are owned by the government. This is because of the government’s role in buying and guaranteeing mortgages. Freddie Mac holds many of these properties, and is trying to get rid of them. A buyer can use the website HOMESTEPS to search for Freddie Mac owned properties in their area. Fannie Mae is another large owner of foreclosed properties. Many of the properties held by Fannie Mae are in places like California, Nevada, Arizona and Florida, which were some of the hardest hit by the housing bust. Fannie Mae uses the website HomePath to market these properties to buyers. You can go to the Department of Housing and Urban Development website (hud,gov/homes) for a list of foreclosures that they have obtained on FHA loans. If you are searching for something other than residential properties, look to the FDIC (Federal Deposit Insurance Corp). Their website features industrial and commercial properties as well as land and single family homes. The Veterans Affairs department and the Agriculture department are other places to find government owned properties. If you are interested in buying a government owned foreclosure property, be prepared. Most of these properties are sold “as is” ,They offer no warranties on their condition, meaning what you see is what you get. Also there is not much room for negotiation on price and contract terms, and you need to have ready cash, you can not rely on equity in your current home or expect them to wait untill you sell your home. Need help to buy a foreclosure or bank owned home? give me a call now!