Foreclosures can be good deals as long as home buyer remember my sage old advice that ‘you make money on real estate when you buy, not when you sell,’ but with more than 1 million foreclosures on the market for sale, shopping carefully!
Here are some tried and true ideas to keep in mind.
- Don’t pay too much. Sounds easy I know, but with so many emotional buyers bidding up a property beyond reasonable worth it can be easy to get out of control. Have your price maximum price in mind before you place the initial offer.
- Get to know Realtors that know the banks. Those who have already established relationships with bankers that handle trouble assets can cut to the chase and obtain better communication.
- Factor in the cost to not only fix up the property, but replace things such as light fixtures and appliances that went missing when the previous owner vacated. Most banks sell properties as-is. Buyers need to consider the cost and factor it into their maximum bid or offer price. Put a healthy due diligence period into the contract to cover yourself. In this way, you lock up the property under contract while you take your 10-15 days to examine the property and get price quotes on the fix’s.
- Place your offer on a Friday. Yes, it may be that easy. I have experienced first hand situations where the banker in charge of making that decision to approve an offer was either taking a short day and leaving early on Friday afternoon, or they had a trip they were planning and did not have the time to stew over the decision to take or counter my Buyer’s offer. At times, your best purchase is being at the right place at the right time!
For foreclosure shopping in the Athens area try www.AthensGaHomesForSale.com.
