Foreclosure homes sales exist because some people lose their properties. When homeowners cannot make their mortgage payments, the lenders are forced to foreclose on the properties in order to recoup their losses.
If a homeowner misses several mortgage payments, he is considered to be in default. When this happens, the lender files a default notice with the courts and it becomes public information. If your lender has filed a notice of default because you have not been paying your mortgage, you do not have much time to save the home. Soon your house will be one of many in foreclosure homes sales.
Homeowners have about three months from the time the notice of default is filed to try to save their home. In order to stop their home from going through a full foreclosure process, they will have to pay the outstanding balance and the interest that has accrued. If they do not do this in the time allotted, then the home will be foreclosed on and it will be part of foreclosure homes sales.
Are foreclosure homes sales so interesting
Foreclosed home sale properties can be a good deal but there is risk involved. You should work with a real estate attorney and a real estate agent who know how to handle foreclosure homes sales. When you buy a home for sale in foreclosure, you can save as much as 30% off the market value because the banks are anxious to sell the homes and get some of their money back.
If you want to buy a foreclosed home, you will need a real estate agent who knows what he is doing because homeowners are not going to want to deal with just anyone for fear of being scammed.
One place to start looking for foreclosure homes sales is at the banks in your area, which have a REO (Real Estate Owned) department that handles the foreclosed properties for sale. The employees in the REO department are not always able to give you an estimate on the value of the property. Banks all handle the foreclosure homes sales negotiations differently and not all of them use the broker’s estimates but some do.
You need to be sure you always take the time to personally look at any foreclosed properties for sale you are considering. The properties in foreclosure homes sales can vary in condition from very good to very bad so you will want to find out what the properties you are interested in look like.
You should also do some comparison pricing in the neighborhoods of the foreclosed properties for sale you are interested in to be sure you get a good deal. Your real estate agent can help you compare prices of other homes that have recently sold at foreclosure homes sales so you will know what a good price is. After you do all these things, you can start the negotiations to buy the foreclosed properties for sale.