How to Buy a Foreclosure

The lending institutions and finance corporations that presently own foreclosed homes hire professional Realtors to list and sell the homes. These homes are the banks' non performing assets called REO (real estate owned) property. REO property will be cleared of liens and a special warrantee deed signed at closing. Foreclosed homes (REO) are listed by Realtors and are found on the MLS. At this time the selection of foreclosed and pre-foreclosure homes, known as short sales, is awesome. It should not be difficult to find exactly the home you’re looking for.

Yes, we all know it’s a buyer’s market in Cape Coral and this SW Florida city is the number 2 foreclosure capital of the country. Sales have been strong since late 2008.

Most of these sales were foreclosures or short sales. Since the media has been working overtime getting news of these exceptional home prices to the public, these distressed homes are being snapped up within a few days, selling above asking price. Multi offers, going for best and highest are the norm. It seems everyone wants great deal on a wonderful home in a tropical paradise.

Although it’s a buyers market, it may be difficult to get your bid accepted. A buyer can expect to offer asking price or above. A short sale will take a few months to close. You will need to help of a Realtor with a lot of experience selling foreclosed homes to get the home you want to buy.

If you’re thinking about taking advantage of today’s home buying opportunity, hire me, a professional Realtor who’s an expert in the foreclosure market. I’ll find you the best deal out there.

Be a Smart Buyer

Is it a deal? It is important to do your homework. Know the market price and the cost of repairs! Just because the price is low, you may have to put a lot of money into a foreclosed home. The deal may not make sense.

What the Lender will Require

-“AS IS” sales contract (Acceptance of 5 business days. closing date 30days later)
-Escrow money (minimum 1% of purchase price)
-A recent pre-approval by a reputable lender or recent proof of funds

The lender will have several addendums and maybe their own contract to sign