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What is a realtor to do on foreclosed propery inspections?

By
Real Estate Agent with REMAX Platinum

Please note that if you are in the process of purchasing a foreclosed property, it may take some time for the bank to accept your offer.  Also, you need to be aware that if the utilities are off on the property, check with the listing real estate agent to find out whose responsiblity it is to turn them back on and what is the cost.  In my case, the listing agent asked for $250 to have the utilities turned on and off for the inspection!

 To help save my first-time home buyer some money, I asked them to contact the utility companies themselves and schedule the turn on and turn off.  DTE, for example, will charge them a $5 service charge and whatever amount of electricty they use until they call to have the utility turned off.  If the inspection meets my buyers' approval, they can then just leave the utilities on under their name. 

 

 

Fred Pickard
Fred Pickard Innovations Realty Inc - Hershey, PA
Hershey, PA

Mary,

You've got to be a little careful this time of year. Even though it's still Fall, many of the lenders have winterized their newest properties already. In our market, the property preservation contractor charges for two trips, one to "de-wint" and one to "re-wint". It's more than just shutting off the water at the meter. Most property preservation companies add an "anti-freeze" type of product to the piping in unheated spaces and they have a specialized machine to remove that from the pipes.

Oct 10, 2007 07:12 AM
Robert Smith
Preview Properties, PC - http://www.RealEstateMich.com - Brighton, MI
SRES, Search for Homes Brighton-Howell-SE Michigan

Yes, I've had the request to turn on utilities for a buyer, too.  Some lenders and/or property management companies have the electricity and gas turned on so the home can be kept at 50 degrees for the winter months. Others do not. All properties seem to get winterized around October 15th. Most winterizing includes draining water heaters and even blowing standing water out of the lines.

I've had buyers that just took the plumbing system 'on faith' and hoped for the best (minor problems only), and those that hired a plumber to come out, de-winterize, and inspect the entire plumbing system. 

It seems reasonable that the bank would then have to pay to have it re-winterized.  That wasn't addressed in their addendum, so my buyers would not have been obligated to reverse the condition contractually. This is great information for buyers that are interested in this type of property, Mary.

Oct 10, 2007 07:58 AM
Anonymous
Boy.. in my state, New Mexico

my realtor told me to let them sell my house and just redeem it, rather than filing bankruptcy.

 But I did the bankruptcy.

Well, that was soooo lucky because the courts took away my right to redeem. I lost a lot of equity when my condo was foreclosed and sold without any hearing....

 I'd had the privy pit excavated, and I was counting on the equity to take care of me in my old age.

 

http://www.health-boundaries-bite.com/Old-Outhouse-Pit.html

Oct 10, 2007 03:38 PM
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