Banks are finally starting to get it! According to an RISMEDIA article March 19, 2011, "...banks are spending thousands of dollars on some foreclosures. In addition to new paint and carpet, floors are being refinished, old windows are being replaced, and leaky roofs are being repaired .... in the past, banks rejected such suggestions, viewing them as throwing good money after bad."
For years real estate stagers and real estate agents have been advocating the practice of sprucing up a home to help it sell faster and for more money. Banks like, Wells Fargo are finally starting to recognize the value in this advice. The article explains how the quality of foreclosures (and the communities where buyers are finding them) is improving. This is causing regular consumers - not just investors - to be more interested in these properties.
Apparently banks are starting to realize that by enticing the average home buyer, they might lessen their inventory of foreclosed homes. This will likely benefit banks and home buyers by making it easier to obtain a mortgage for bank owned properties - after all it can be difficult to secure financing for a home that's “uninhabitable” because of needed repairs. Could this increase home values? Maybe. While foreclosures will still sell at a discount, the prices of the houses that have been improved won't be as low as those properties deemed "unlivable" - which could help the broader real estate market.
Investors needn't worry - there will still plenty of dilapidated foreclosures on the market to choose from. Some bank-owned properties in certain neighborhoods won't ever be worth improving. After all, if the furnace was stolen once, it's a good chance it could happen again. With the quality of their competition improving, traditional home sellers have PLENTY to worry about. They will need to try harder than ever prepare their homes for sale AND they will need to be much more realistic in their pricing. That foreclosure for sale down the street may look a lot more inviting to average prospective buyers in it's improved condition.
Are you a do-it-yourselfer who'd like an easy-to-follow step-by-step guide to preparing your house for sale? Visit www.Ready2Sellin30Days.com to learn how to get your house ready to sell in the quickest most economical way possible.
Sellers remember, it's important to know your competition. Go here to learn How to Compete with Foreclosures.
Check out Want to Know What Buyers Want?
Exciting News! Solutions for Seniors Who Feel Stuck in Houses that Won't Sell.
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