There seems to be a common misconception about buying a real estate foreclosure in Charles County. Banks are trying to get as much money as possible for the real estate they own, but they typically demand that their homes are sold "as-is".
This does NOT mean that you should skip the home inspection! Quite the contrary, if you're trying to buy a primary residence, the inspection is absolutely crucial!
Don't believe me? Well, would you buy a car without knowing it runs? Buying a home without an inspection is the same concept. Does the furnace still work? Have the pipes burst? Have termites eaten through the walls? You just don't know without that inspection! I can see the marketing slogan now:
Lovely home with rustic living (furnace is shot, bring blankets), In-ground pool possible (Basement is flooded), and lots of natural light (Termites were hungry)!
Danger Will Robinson, Danger!
All you wanted was a great deal, and instead you end up with a money pit. While the inspection won't fix the problems, you are saving yourself from possible FINANCIAL DISASTER by knowing what sort of problems (if any) may exist. When it comes time to write a contract to purchase a foreclosure, bear this in mind:
- The home is being sold as-is, and
- The bank is not likely to do any repairs on the home, so....
- The inspection is for "informational purposes only" (That's Legalese for: Don't even THINK of asking for repairs!)
If you want to keep yourself protected, make sure that any inspection being done for "informational purposes only" has a "walkaway" clause. This means that if you find something wrong with the inspection that you don't like, you can cancel the contract, get your deposit back, and find another property that suits you.
Banks are doing everything they can to relieve themselves of liability. As a buyer, you need to make sure that you and your Realtor are keeping your financial interests protected!
Got questions about buying a foreclosure? Give me a call!
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