There are several fairly simple steps that will move you in the direction of being able to purchase a foreclosed home.
1. Get pre-approved for financing and have either a pre-approval letter or a proof of funds letter in the event you are paying cash. This will speed up the process and hopefully put you in a more desirable position and all banks will require this to accompany your offer.
2. Decide on you target location and begin collecting information about that local market. Understanding the price ranges for recently sold homes will help greatly.
3. Identify an agent that can assist you....one that will represent you and has no connections with the bank and one with a basic foreclosure understanding.
4. Make you offer a realistic one. Remember that banks have normally had appraisals or BPO's on the subject property and have an accurate appreciation of the value. Your offer should be a reflection of the local market and condition of the home.
Hope you find this helpful....
The best way to do it is by working with a real estate agent. I am sure you have see web sites offering list of REO properties, but they are not accurate. If you know a good buyer REO agent, he or she will be able to help you. New listings are always coming on daily basis. My recommendation is to get your pre approval ready thus when the right house comes out, you can present your offer immediately. REO properties are very competitive. If you donâ€™t know any good REO agent, I could help you. I work from Clifton, and you are not far from me. I do BPO (broker price opinions) for asset management companies so I usually know which properties will come to market. I also list bank owned properties. I could send you some listings for your reciew. My e-mail is firstname.lastname@example.org
If you don't have a specific property in mind, a local real estate agent can identify these type of properties for you. You can also visit various foreclosure websites (too many to name) for bank owned properties.
Marsha B. Washington
Coldwell Banker Residential Brokerage
Realtor/Real Estate Consultant
SFR - Short Sales Foreclosure Resource
NFMC - Foreclosure Mitigation Counselor
CDPE - Certified Distressed Property Expert