Everyone is aware of the current real estate crisis and increased foreclosures going on in the States. But what many people may not be aware of, is that there are some great values available if you are looking to purchase a house or property. Whats different now then in the past, is that not only are numbes of foreclosed at all times highs but the quality is much higher as well.
If you are considering buying a foreclosed home from a government auction then you couldn’t be lookin at a better time then now. Before you do though you should be aware of the advantages and disadvantages of buying foreclosures over using a realtor for a non-foreclosure property.
Some of the pros of purchasing a foreclosed/pre-foreclosed home are:
- The main advantage in purchasing a foreclosed home is the below market price.
- Many homes are in good condition for much less than their market value.
- Many more different types of homes to choose from then in the past.
- No middle man (Realtor) to have to go through or additional fees to pay (although you should consult with someone along who can inspect the home(s) for you).
- Insurance is optional. Results in additional monthly savings.
- Great investment opportunity (i.e. rent out or flip that house)
- Less risky then the stock market, as you own something tangible
Disadvantages:
- A mortgage could be hard to obtain, unless you have borrowing leverage
- You need to be aware of any existing liens, judgements, or unpaid taxes still on the property.
Making sure that the foreclosed home you’re interested in is clear of all debt is one of the most important things you should do homework on. After that, find out what types of payment plans are allowed, and have any required financing in place beforehand. Obviously any additional savings you may have will help.
Government auctions happen everying held every week throughout North America. You can locate detailed information regarding auctions on the web. Some sites will even show you previews of the houses that will be available at the upcoming auctions. Buying an estate through a government auction could be very fulfilling, but as I already mentioned do your homework. You may want to watch the bidding only at first visit to a government auction. You should be acquainted with how government auctions work before finally deciding to buy your own home.
The author is currently researching Homedics Back Massager and Homedics Massage Chair for a magazine article on massage.