Buying a foreclosed home takes some patience. A foreclosure occurs when the home owner stops paying the mortgage and the bank takes possession of the home. Some foreclosures are in good shape while others need small to major renovations. Normally the home will not have the heat or electric on when you view the home. Make sure to bring your flashlight so you can take a look at the whole house.
The home inspection is the most important factor in buying a foreclosed property. The bank does not give you any property information because they have never occupied the home and most times there is no power or water connected at the house. Some banks make the buyer pay to de-winterize. De-winterizing involves calling the electric and water company to have the electric and water turned on at the house and a plumber to turn on the heat and check for leaks. De-winterizing may take days to weeks to get everything turned on and in working order. In addition, a home inspector can’t check many of the main components of the home (heat, electric, appliances…) to see if they are in good working order unless the home is up and running.
Dealing with the bank to buy a foreclosure can take some patience. The bank doesn’t always make sense in their thinking but it’s “their way or the highway”. Along with all the extra forms and paperwork the home will most likely need work. The home may be in a distressed state and need to be fixed but normally sells for a much lower asking price. At lower, reduced prices you can get great deals on these homes and resell them for profit, rent them or even live in them.
If you are looking to buy or sell a home in the Southern New Hampshire area give me a call or better yet stop by and we can discuss your options.
Virginia Kazlouskas (Gregory), RealtorHarmony Real Estate, Inc. 2 Winnhaven Drive Hudson, NH 03051 (Office) 603-883-8840 X12 (Cell) 603-620-3428 (Blog) www.virginiagregory.wordpress.com (Email) Virginia@harmony-RE.com (Website) www.Harmony-RE.com (Facebook) www.facebook.com/HarmonyRealEstate