Home Buying in Fallbrook>Question Details

Trulia Voices, Home Buyer in Fallbrook, CA

when you buy a foreclosure house do you need to pay for it cash or can you pay for it monthly?

Asked by Trulia Voices, Fallbrook, CA Sat Sep 25, 2010

Help the community by answering this question:


Hi Home Buyer, here's the breakdown based on the status of a distressed property:

1) Pre-foreclosure Short Sale: Financing is available (subject to qualifying).

2) ** Trustee Auction: In CA cash is required.

3) REO/Bank Owned home offered for sale on MLS: Financing is available (subject to qualifying).

4) ** REO/Bank Owned home offered for sale at Auction: Financing is available (subject to qualifying).

** Not recommended for new buyers!
See: http://www.trulia.com/voices/Home_Buying/Do_I_have_to_have_c…

Best, Steve
1 vote Thank Flag Link Sat Sep 25, 2010
Home Buyer,

Yet another example of the perils of Trustee Auctions:
0 votes Thank Flag Link Sat Sep 25, 2010
Homes that have been foreclosed on can either be purchased through a Trustees Sale or through the banks REO department.

A Trustee sale is usually conducted at the local Court House by an Auction or bidding process, and requires all cash to be submitted immediately upon acceptance.

Through the bank owned REO process the current owner, the bank, will allow you to secure financing to purchase their properties and therefore can be paid back on a monthly basis.

I hope this helps you.
0 votes Thank Flag Link Sat Sep 25, 2010
If you buy it at the auction, it is cash. If you buy it from the bank, you can finance the purchase...and it is a lot easier on you. Work with a Realtor that knows how to write up a good contract and you will be fine. Be sure to have your financing in place.

Let me know if I can help you in any way!

Joan Wilson (Realtor, SRES, Ecobroker, Certified REO, HAFA, and Short Sale Specialist)

California Cool 4 Sale
Prudential California Realty
Direct Phone: 760-757-3468
800-975-7481 x 111
Fax: 760-946-7894
License # 01341483

Find Your Dream Home:
Find Foreclosures: http://CaliforniaCool4Sale.com
0 votes Thank Flag Link Sat Sep 25, 2010
Foreclosed homes can be financed. But, it depends on what type of financing you have qualified for. Some homes will not qualify for an FHA loan because of the repairs needed. If you plan to purchase a foreclosure, definitely find a good realtor experienced in foreclosures. She will assist you with the entire process as well as give you a referral to a loan officer.

Best of luck to you!
Web Reference: http://www.DesariJabbar.com
0 votes Thank Flag Link Sat Sep 25, 2010
Forclosures are available to first time homebuyers, cash buyers, investors, and the like. You just need a pre-approval from your bank before you make the offer.
0 votes Thank Flag Link Sat Sep 25, 2010
As Sara mentioned you can definitely obtain loan to purchase a foreclosed home. You need to contact a loan officer to qualify you for a loan.
Best wishes.
Raana Jamshide
0 votes Thank Flag Link Sat Sep 25, 2010
You can get a loan on a foreclosed home if it is in decent condition. On Severely damaged homes is can be difficult to obtain financing. That is when it becomes a cash only deal. Working with a good Realtor and loan offer will help you determine whether you can finance a particular home.

Ever Eternity
Phone (530) 448-3867
Fax (619) 819-9923
E-mail eversandiego@gmail.com
Web Reference: http://www.eversandiego.com
0 votes Thank Flag Link Sat Sep 25, 2010
You can purchase them with a mortgage. Homepath (Fannie Mae Foreclosures) offers special 3% down financing (if you are approved) and there is always FHA at 3.5% down (if you are approved). Talk to a mortgage lender in your area to get a pre-approval.
0 votes Thank Flag Link Sat Sep 25, 2010
Hi there :) Some investors buy homes that have been foreclosed on by paying all cash, but you don't have to. Many lenders are willing to give homebuyers loans (whether FHA, VA or Conventional) to buy foreclosed properties, that way you could pay for it monthly, making the monthly mortgage payments to the lender.

If you are interested in buying a foreclosure, I'd love to help. My brokerage is founded and run by attorneys so we make sure that you never get taken advantage of and that every part of the transaction is both legal and ethical, and that you understand what's going on, plenty of support.

I can also help you to get a prequalification from a good lender so you know how much of a house you can afford if you need. Best of luck to you!

Sarah Davis
(619) 254-5699
Web Reference: http://www.RealtorSD.com
0 votes Thank Flag Link Sat Sep 25, 2010
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