Buying a foreclosure can be an intimidating process. Will you be able to make better financial decisions than the previous home owner? Will the house be a good fit? Although there are foreclosure horror stories, there are also plenty of foreclosure success stories. By following the subsequent tips, your chances of success are much higher.
Make a List of Needs – Although this is a given, making a list of what you are actually looking for in a home is a good choice whether it’s a foreclosure or not. Furthermore, prioritizing the items on your list is also important. Are there things you want in a home but are willing to sacrifice for the purchase of a foreclosure? This is an important step to take before you begin looking. If you find a foreclosed home with an overall good percentage of what you want, you may be looking at a winner.
Go See the House – You may be looking into foreclosures all around Ohio, but it is best to go see the properties for yourself. Words on a page can be misleading and the only way you will know whether or not the real estate will work for you is to go investigate for yourself. When speaking to an agent, make sure to ask a lot of questions about the state of the home.
Look at the Neighborhood – You may be spending most of your time in the actual home, but no one wants to be a recluse. Make sure the neighborhood is a safe area and has a large number of things you are looking for in a place to live.
Avoid the Pre-Foreclosure Stage – If you are looking at homes in the pre-foreclosure or short sale phase of foreclosure, it could take months to hear back from the lender involved. Time is important, and there may be a better foreclosed home waiting for you.
Remember Timing is Everything – Not all foreclosure opportunities can be profitable; however, by keeping tabs on how long a house has been on the market, you can maximize your chances for a profitable experience. Public Auction can be a good time to buy, but typically, the time to look for the best deals is when the house has been on the market for 60 or more days.
Just the word ‘foreclosure’ is enough to make a stomach churn. But by keeping these tips in mind, you can increase your chances of a successful foreclosure purchase. Tread carefully and do not rush the process.