What is the best deal in Real Estate today asked a local investor? The answer was buying BANK OWNED HOMES. But how do you d it they asked. There is auctions, and listed homes, unlisted homes and so many banks. So much risk? Where do I start?
Here in the Manchester NH Area, there is a slow and steady flow of foreclosures. Some make excellent purchase for investments, but only if you know what you are doing. Not all agents are familiar with or experienced with Bank Owned Homes, also known as REO.
The first way to buy a foreclosure is at foreclosure auction. This is the most risky way as the sale is cash, AS IS and no contingencies. The buyer is responsible for all liens and additional mortgages, so doing doing it right is a must.
The most common way people buy bank owned homes is after the foreclosure takes place. The bank takes the home back. Nearly all bank sales are handled by asset management companies who then hire a local and approved agent to list and manage the sale.
A home is listed, then often there is a deal while it is cleaned out and appraised. Good REO agents will get their buyers in to preview bank owned homes during this time. When they set a price, they can submit their offer promptly. Many investors hire a local and well experienced buyer agent to assist in all their purchases.
The most important lessons are bank owned sales are AS IS. Most banks will not fix anything, they will not renegotiate after an inspection if they even allow one. Most are no contingencies and cash only on a quick sale. Most successful investors inspect the home prior to making any offer.
THE SECRET OF SUCCESS and the key to having a successful purchase of sale, can increase simply by choosing a better agent. The secret is, that All Agents are not created equal and every buyer or seller should take the time to hire the BEST not just the biggest. I leave you with now infamous philosophy, which is simple, to provide more personal and professional service to guide my clients through each step of the buying or selling process.
About the Author: Scott Godzyk is the Owner/Broker of the Godzyk Real Estate Services in Manchester NH. Proud to be locally owned and operated with 30 years of experience, Scott is a leading Agent for Listing and Selling Homes in this area.We are Full Time Agents ready to serve all of your Real Estate needs. Servicing Hillsborough, Rockingham, Merrimack and Belknap counties.