Should You Buy a Foreclosure Property?
MP4•Episode home
Manage episode 155209343 series 1150003
Content provided by Sean McManamon. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Sean McManamon or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://player.fm/legal.
A lot of my clients have been asking me about foreclosed homes. They seem to believe that buying a foreclosure can get them a great deal on a home. Today I just wanted to clear up some misconceptions about foreclosures and why you may want to think twice about buying them.
You need to know that a foreclosure is a bank-owned home, and that the bank has taken the title from the owner. The bank will then put the home for sale with a Realtor, and that is a foreclosure.
So, should you look at foreclosures? Yes. But will you get a great deal on them? Not exactly.
![](http://1.bp.blogspot.com/-GOhuoLsCoHg/VO4lOV3LK7I/AAAAAAAATyA/14hyaU1pBKY/s1600/2.25.15.jpg)
When banks sell foreclosures, they perform their own appraisals and generally don't want to come down off the market value too much. Another thing to keep in mind is that you will be negotiating with a bank when you try to buy a foreclosure, and they're usually not willing to negotiate very much. Banks often don't offer warranties on the home, so you really have to do your research or you could end up with a broken home.
Bottom line is that foreclosures appear to have a great value, but in reality, you're probably better off buying a resale property unless you're looking to invest in a property to spruce up and sell later.
As always, if you have any questions about this subject or want to ask me about Tampa Bay real estate, please don't hesitate to contact me.
12 episodes