Many people avoid short-sales because they are frustrating. This means that there is somewhat of a feeding frenzy around bank-owned properties. Its important to know that these can be difficult transactions as well and make sure the buyer is prepared to handle it.
Here are some of the things that are important to know in a foreclosure transaction.
- Try to see the property as soon as it gets on the market because the more desirable properties may end up with multiple offers.
- Some banks will not review the offers right away but will wait for the home to be on the market for a few days.
- Make your highest and best offer because many banks will not accept escalation clauses.
- Once the offer is accepted banks do not like to make changes and will make it very difficult (trust me, I learned this the hard way).
- Homes are sold "As-Is". Banks will rarely make repairs.
- Many banks will make the buyers pay to have the home de-winterized for the inspection.
- Make sure that the closing date you agree to is realistic because many banks will charge a per diem charge for every day after the originally agreed upon closing date.
- Many banks will make it extremely difficult for the buyer to choose their own title company.
Foreclosures can be great deals. However, you are not dealing with individual sellers but instead with a corporation that can make it also stressful and frustrating.
Pack your patience and it can be incredibly worth-while in the end.
If you or someone you know would like information about buying, selling, or renting a home in Prince George's, Montgomery, Charles, Calvert, Anne Arundel, Howard, and/or Baltimore Counties please contact Dr. Stacey-Ann Baugh of Century 21 New Millennium.
Dr. Stacey-Ann Baugh
Century 21 New Millennium
FINALLY! A DOCTOR WHO MAKES HOUSE-CALLS!
Information deemed reliable but not guaranteed!