8 Tips on Buying a Bank Owned Property

The reality in the North Texas (Dallas Fort Worth Area) is that it aint' happening. Why...
Dallas Forth Worth, Houston and San Antonio are all growing. More and more people are moving to this "Triangle". According to the Associated Press, July Home Sales Had the Largest Increase Nationally in 10 Years and Texas is expected to Lead the Nation in Recovery. Texas Posted 37,900 Net Job Growth in July - First Gain in Almost One Year. As long as the jobs are growing and the price of Real Estate is low compared to the rest of the United States, real estate will hold its value, even foreclosed real estate. So the pennies on the dollar are not happening here but we will have stability.

8 Tips!!



8) Be Realistic. Even though you won't get a home for pennies on the dollar, you will get a good deal. You can have instant equity in your home if you get it for the right price. Most people take years to have the equity you will have at closing.

7) Be pre-approved. When the bank is ready you must be ready to move quickly. When you find the home you want be ready. Don't lose the deal because you are still looking for a loan.

6) Don't fall in love with the property until the deal is complete. Too many things can happen along the way. It is not done until you sign the papers and the money transfers.

5) Bring your imagination. Some of these properties need cosmetic work. Just because the walls not painted your color, it still could be a great home. Look beyond the current state of the house. It is amazing what a little paint a cleaning will do. There is a difference between cosmetic and structural. Most cosmetic work is inexpensive. Plus...the worse the home looks the better price you will pay. Bring your imagination.

4) Get a home inspection. This is a must for any property you buy. The cost of the inspection is nothing compared to to the problems you could have if things are not checked out. Don't save a few dollars only to spend thousands later.

3) Know what contract the bank (lender) will require. Each bank has their own addendums that they want to use. Your Realtor will know what is required.

2) Make a strong offer if you want the property. It is heartbreaking to low ball a great property and mostly a waste of time. Good looking, fairly priced homes will move quickly. Good looking, fairly priced homes will most likely sale close to the asking price. Trying to low ball the property will not work.

1) Choose a Great Realtor. Find a Real Estate Agent that works Bank Owned Foreclosures. Find a Realtor that will work closely with you and will explain the process of buying a Bank Owned Foreclosure