INVESTING IN FORECLOSED PROPERTIES
The amount of foreclosed homes for sale in the U.S. is at an all time high. Now is an excellent time to start thinking about investing in one or more of them as your personal residence or as an investment property that you can keep and rent or rehab and resell at a higher price. Many people interested in purchasing a foreclosed property especially first time buyers are under the impression that foreclosures are down trodden homes in unwanted areas. Now, you can actually find trendy homes in middle class and wealthy areas, in descent condition, that are owned by the bank after being taken in foreclosure.
Right now, it is possible to find foreclosures at up to 50% below market price. Also, keep in mind that it will take you sometime to understand the procedure, before you seriously begin to think about investing your hard earned money.
The start of the foreclosure process begins when the owner is unable or unwilling to keep up with the mortgage payments. Banks move swiftly within 5 to 6 months of the owner being in default in starting the foreclosure process. Many times the homeowner has a legitimate hardship and is just unable to keep up with the payments and therefore the upkeep of the property and its repairs will be sacrificed. This means that the buyer will be able to purchase the property at a much lower price, repairs on the property should ultimately be considered as well. I have also seen many buyers purchase foreclosed homes that are in very good condition. Ultimately, buying a foreclosed property now is a very good investment for the future.
Many first time buyers purchase homes with very little money down. There are many government programs and lender programs that help with down payment assistance. Many first time buyers usually end up with mortgage payments that are lower then what thier rental payments were before they purchased a foreclosed home.
So if your asking yourself if buying now is the right thing to do? I would say Yes, Purchasing a distressed property is definitely a smart descion in this current real estate market. Be sure to do your research and make sure to use a real estate agent who has the experience to help you with this important descion.
If your interested in knowing more about distressed properties and the purchasing process or would like a FREE list of all homes for sale in your area that meet your criteria. Please, do not hesitate to contact me via email or phone.
firstname.lastname@example.org mobile 773-573-9798. Hope to hear from you in the near future.
Real Estate Broker
7020 W. Higgins Ave., Chicago, IL 60656