Hello Lex,

The lender/owner will provide you with their disclosures. Those disclosures will indicate that they really don't know much about the property. You as a buyer should do your due dilligence and get an inspection or inspections and find out as much as you can about the property before you purchase it.

I have listed and closed foreclosures for clients. If you have specific questions please feel free to contact me.

Most likely they will give you a version of their own disclosures drafted up by their own attorneys stating that they recommend that you have a professional inspection performed and that they will or cannot provide you with a warranty as to the condition of the home - inspect, inspect, inspect and then decide if it a home worth pursuing. They may provide you with a termite clearance - if that is any consolation! Banks can make their own rules all the way down to last moment before escrow closes - be aware. Good luck!

Disclosures don't always tell the whole story. Go with the inspection suggestion from Laarni. I have 300 Agents working in my company, about 20 of them doing REO's. They tell me it is Buyer beware! Your Agent is supposed to make you comfortable with the process, not send you to others for advice???best of luck. The Coach

Hi Lex,

Although the bank says that it is being sold AS-IS, you still have the right to get the property inspected so you know what type of problems you are looking at right now or in the near future. Please exercise your right to back off if you think you need to put in too much work. the bank's disclosure pertain to the environmental,lead,earthquake and other general disclosures and not pertaining to the property itself.

All the best,
Laarni

Essentially, they'll give you "disclosures" disclosing that they aren't going to disclose anything. Because they can't--they don't know the condition of the property. It will be one of the conditions of their counter-offer or in an Addendum they'll make you sign. Did that happen or are you still in negotiation stage? There may be some "required" state forms irregardless of what the bank wants to give you--but the banks seem to get their way. It is one of the risks of buying an REO. However, just because they sell it "as-is" doesn't mean you can't perform all of the inspections you desire at your cost. Good luck with the new home.