You have posted an excellent question. The answer is- it depends. There are many factors that have to be taken into consideration.
1. Time on Market?
2. Local market trending ? UP or DOWN ( ask a broker about the price )
3. Is the listing being handled by a local agent who knows the area and has local MLS access?
4. Number of properties on market that are comparable
In short, you have to do a little research and team up with an agent that you have interviewed and that understands your needs, goals and time parameters. Looking at your zip I can refer 3-4 agents to you that I personally know, live in your area and also work your area. They are all veterans in the business as well as fun and easy to work with.
They can look up the BPO value(s) assessed by the bank and run sales comparables from their local MLS to support value or reduce your asking price on an offer. Banks review their pricing every 90 days with updated BPOs and you can submit an offer that has a lower offer price even though the bank hasn't adjusted their pricing - yet.
It's all possible with the right team in place.
if you'd like to have a some excellent referrals please don't hesitate to call me.
Prudential California Realty
Pacific Design Center- West Hollywood
8687 Melrose Avenue, Suite G271
West Hollywood, CA 90069
323 466 5358 Offc.
213 804 4245 Mobile
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So, to answer your specific question: It is not realistic to expect to be able to acquire a foreclosure at a price listed in a RealtyTrac ad. No, a bank would not do that.
If you're interested in foreclosures--or, more generally, good bargains--then contact a local Realtor.
Hope that helps.
To get the bets deal on a foreclosure, you shoudl get an expereinced buyker who specializes in foreclosures, they can guide you through the process and find teh best deals for you.
TO READ ABOUT REALTY TRAC SECRETS CHECK OUT THIS BLOG
TO GET TIPS ON BUYING A FORECLOSURE, CHECK OUT THIS BLOG
Popular "foreclosure" sites usually list the amount of the default, taken from public record filings, and not the market value. A typical low value foreclosure might be a case where a Home Owners' Association has foreclosed for back fees The sites show a house worth $200,000 as "Sale Price: $1,500". That's not even close.
First of all, in most states, a HOA foreclosure doesn't clear any other liens, so you would be buying the existing mortgage and tax obligations as well. Ask yourself, in an efficient market, where well-informed people look daily for bargains, how could they have missed this deal? If a great home is priced at 10% of market value, how long so you think it will be around? Not even long enough for you to type your question.
Your best approach for getting both accurate foreclosure information and the support you will require to purchase one of these properties is to contact a local real estate professioanl. They will be able to meet your needs.