Foreclosures are a hot market for investors and buyers. To get the best deal possible, follow these tips:Forclosure

1. Timing is everything. Borrowers often are given a chance to avoid foreclosure with a grace period, typically two to three months, to pay off the amount they owe. The borrower may opt to sell the property during this preforeclosure stage if they can’t make up their missed mortgage payments. This is typically the best time to strike a deal, as home owners are looking for ways to avoid foreclosure. Another prime time to buy: prior to an auction date.

2. Look in the right places. Follow the foreclosure trail. NMWelcomeHome Real Estate Team, Title companies, banks, purchase money, escrow offices, and credit unions can be good sources to find out about new foreclosures. Contact NMWelcomeHome Real Estate Team for the latest forclosure listings! 

3. Know when to walk away. For properties that have been left vacant for any amount of time, it’s important to check for any plumbing or electrical issues, vandalism, foundation problems, and mold. I Recommend that clients spend money on a home inspection to ensure they’re not overlooking problems that would be expensive to fix. Even if the property’s price tag has been steeply discounted, it still might not be the best deal.

4. Do your research. Before buying a foreclosed property, our clients should have the home appraised to get an accurate estimate of value. Also, they should ensure the title is clear and check for any liens — such as builder liens and taxes — that need to be paid off. Your Buyer Specialist with the NMWelcomeHome Real Estate Team can help you obtain this information.

5. Buckle your seatbelt. Foreclosure deals often move fast and require constant monitoring as properties wind their way through the process. Home owners who were in shock or denial or banks that have taken over ownership of the property may initially reject your offer, but don’t give up. Follow up is key — especially as an auction or REO time nears, they may change their mind. “The early bird definitely gets the worm in the foreclosure market,”. Remember, if it looks like a great deal, other buyers are undoubtedly looking too. Therefore, make your offer more appealing, such as by being able to close in 14 to 21 days. While escrow periods are usually 30 days, you can find some banks that can act faster.

NMWelcomeHome Real Estate Team will help you from the beginning to the end in your forclosure transaction. We are the professionals that will keep you going every step of the way!

Click HERE for More Information on Foreclosures and to Search Foreclosure Homes 

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