Home Buying in Heritage East>Question Details

Bassinhunter, Home Buyer in Heritage East, Albuq...

ive been trying to find a forclosure or someone in the forclosure process so I can find a good deal. What?

Asked by Bassinhunter, Heritage East, Albuquerque, NM Thu Jul 23, 2009

the best way to go about it?? Ive seen all the sites that u pay to get a list but Im not so sure about them! Help

Help the community by answering this question:


Coming soon to a location near you http://www.ColdwellBankerLegacy.com/Mark.Wingert will be a web sit containing forclosures in the Albuquerque, Rio Rancho area.
0 votes Thank Flag Link Sun Aug 9, 2009
It all depends on what you mean by "foreclosure". You said you want to "find a foreclosure or someone in the foreclosure process". Finding a foreclosure means finding a bank owned property - one the bank already foreclosed on and is now for sale (also calle REO properties). Banks now use the standard selling process of listing with a real estate professional who lists the REO property on the regular local MLS and sells it like any other property. The opportunity for a deal here is to maybe pick a house up for about 10% less than market value and that's only because the bank wants to sell quickly. Someone in the foreclosure process is where you might be able to get a much better deal... but it also takes quite a bit more effort. In Bernalillo, the first public sign someone is in trouble is when they have missed a minimum of 3 pmts (90 days late), and the lender can then file the first public notice of default with the county, known as a lis pendens. These are filed every day and the first investor who gets that info has the advantage. There are a couple of local investors who have staff who collect this info every few days and you can subscribe for a list of this data that is only a few days old - this is your best bet, unless you can go down to the courthouse yourself and sort through files one at a time to get the info. However, even these lists have drawbacks - expensive and subject to cherry picking by the investors who own the list. Web services like RealtyTrac are just pulling the info from our county once the info is uploaded to our public data base, which takes a couple weeks. You should never pay for those services, because they give you no real advantage over free info sources. You can see lis pendens listings that are about 2 weeks old here in Bernalillo County: http://budurl.com/BernCo
If you get this info, you need to find a way to reach the homeowners in trouble and get them to actually respond to you without aiming a rifle at you while you are walking up to the front door. This is an art that takes skill and experience... and that's if you can find the owners, who have often already moved and left the trashed house behind. And if you do fine them, do you know how to structure the contract and get it through to closing? Another way to pursue a deal already in the foreclosure process is to work with a real estate broker to find a short sale, which is a house listed for sale for less than the amount owed. The issues here are that every lender is different and will discount different amounts (usually 5-20% off current market value) and they can take up to a year to finally be approved - so you need to be patient and flexible. I sometimes submit offers for my buyers on a number of short sale properties at the same time and see which one we can get to work. Banks simply do not have efficient systems to deal with the sheer volumes of properties in default that they are managing these days. So, I guess the bottom line is that, yes, you can find some deals out there in this flood of foreclosures, but it takes time and effort. You can read a handful of books that will give you a bunch of info that is not specific to your county and you can spend the time to learn by experience (or find a mentor), or you can find a good real estate broker to help you. You can find good ones by asking them if they are currently buying and selling distresseed properties in this market. If they are not investing their own money in these "great deals", then find one who is. By the way, you can see my latest remod (flip project) here: http://budurl.com/Trulia0724 Email, text, or call me anytime with questions... best of luck! :o)
0 votes Thank Flag Link Fri Jul 24, 2009
Let's be clear on the motivaton of the bank, it's not to provide a buyer with a good deal, it's to get as much for the asset as possible. Yes, the selling price can be much less than the neighborhood average but banks won't pay for many items a buyer may ask for such as inspections, repairs, warranty - so be dilligent. If you have the time and patience, you may be better off with a short sale. Judicial foreclosure adds to the selling price for the bank in possession of the home. You often find "clusters" of foreclosure activity, If Heritage East is where you want to buy, on average there will be far less foreclosure acttivity to choose from. Regardless of what you read in the press on the ABQ market, we are at the tipping point. Across all price ranges there is much more short sale activity - half of these will sell and due to the slow movement on the bank to approve short sales, the other half will go into foreclosure. I'm a Certified Short Sale Professional and have done many short sales and REOI (bank owned) in my 10 year career, and am keen on the market trend. Many homes are "vacant on a lockbox" and how long will someone continue to make that payment (according to NAR 93% of people use a mortgage). I think you can get a great price on a non-forclosure home today! It's a wonderful time to be a buyer - selling - well price it right from the start and don't chase the downward trend, make sure it is in great condition and it will sell. On both short sales and foreclosures be 100% ready to go with your funds or mortgage approval, in both of these situations, a cash offer with fast close will usually win.
0 votes Thank Flag Link Fri Jul 24, 2009
My experience with the foreclosures lists is that they are not providing much more info than we as Realtors can get you. If you want to chase “pre-foreclosures” the properties lists could be helpful, but working this area requires quite a bit time and knowledge. My recommendation would be to get an experienced buyers broker to “bird-dog” the MLS and other resources for you for any properties that look like a deal. Good deals are not always foreclosures; it could be a short sale or some other “distressed” sale situation. The most important thing to remember is to be patient and wait for the right deal to come along. You may need to look at 50 properties and make multiple offers before you find the right one.

Tego Venturi
0 votes Thank Flag Link Thu Jul 23, 2009
I agree with Bill's answer & would be happy to help you with that. I'm a local Realtor with experience in the foreclosure market & can get you access to foreclosure & short sale properties. Please feel free to contact me anytime at 505-400-4129.
Paul Taylor
Associate Broker
Web Reference: http://www.MyABQHomes.com
0 votes Thank Flag Link Thu Jul 23, 2009

A real estate professional will be able to access and provide you with the information you need and the guidance to get you through the purchase process.

Contact a realtor today.

Good luck
0 votes Thank Flag Link Thu Jul 23, 2009
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