It's an REO! You are getting a great buy...or at least should be.
The purchase price very likely reflects the need for a new HVAC, hot water heater and appliances. Most likely flooring also. Unless you know otherwise, you should budget into the acquisition cost the need to replace all of these. If you find out later they work...JOY!
Now, you must examine the structural integrity of the building. If over 15 years old, look for stress cracks at windows and load bearing passageway. View all doors, closed, to observe if they are square in the frame. If not..something may be shifting. This is a situation you can not budget for.
Finally, you must know the financial stability of the association. Obtain and read the minutes of previous meetings. You are looking for clues regarding future community repairs that may result in a community assessment. Now you must know how to analyze the community reserves. You need to know total number of units, monthly reserves paid by each owner, %of rentals, and number of delinquents. A recently sold waterfront condo in my area of Florida came with a $64,000 assessment. JOY!
Your real estate professional will be able to walk you through all of these elements.
Best of success in acquiring your new condo
ReMax Realtec Group
Palm Harbor, Fl
727. 420. 4041
Good luck to you!
Unwavering Commitment to Service, Unsurpassed Results
With condos you would want to find out of there are any past due HOA fees or pending assessments. Ultimately you want the bank to pay any past due HOA and any pending assessments and HOA liens. Proposed assessments (those assessments for which there is no dollar figure at the time of purchase) would be YOUR responsibility. So you would also want to know if the HOA is planning a big expensive assessment after you take possession.
If you're not using a real estate agent, you will probably want an attorney to review your offer prior to submission. There is often additional paperwork associated with a bank owned sale and the paperwork has to be filled out completely and perfectly or your offer will not be submitted by the agent to the bank. A real estate agent would have access to the additional needed forms as they are often posted as a supplement on MLS.
And with any purchase (especially a bank owned property) get title insurance for both your lender (lenders policy) AND yourself (owners policy). Should there be any issues that arise after closing, the policy will help to indemnify you against the cost of fixing title and other issues.