You most certainly did.

As a word of advice, I would suggest that you find an area in which you and your family want to live. Then, see how much home prices are there and be aggressive, if you want to purchase now.

You are absolutely right that many REO's and short sales are not in immaculate conditions, and I suggest that you keep looking. Prices will continue to drop...and if you don't have to purchase now, its not a bad thing to wait on the sidelines.

Word of Caution: Before you retire, you may want to purchase a home to live in. Why? Because it may be more difficult to get approved for the loan if you are not working. Unless your passive income is sufficient. Best advice, speak with your loan officer to see "when" you should consider purchasing (even though they may be hungry and tell you now!).

Good luck to you!

Denton Ward

Ok I guess I should have provided more detail. I and husabnd are calif residents born and raised, husband is in military for 18 yrs and will retire in a couple years, stationed in california the past 7 and could never afford to buy a house in calif, never though we would be able to with cal prices. Now we can! Bad part is we just got orders and moved to Germany so we will have to support two households. We have been preapproved. The home I buy will be for us to live in once he gets out of the military so no I dont want a foreclosure because every single one i have seen are dumps. (Maybe I just havent seen enough.) The reason I ask about bank owned and short sale is because i found and short sale home I love, is in immaculate condition and love it but while we were in the process of the offer for the short sale the bank has taken it from him. We offered what they advertised on the MLS but i am sure it is worth more because it was well taken care of. I was trying to figure out what the comps are for the area and everything i have seen is considerably higher then what this was listed for. I think I am rambling. Bottom line is military members have only so much cash, we have to support our life here but want to prepare for the future, I want a nice home. I dont look at it as investing just finding me a nice home for the best possible price. I hope I have answered the questions. Thank you for the info.

Are you looking to invest or for a home to live in? I ask because buying a foreclosure could or could not be your best option at this time.

As previously mentioned, you will most likely want to get pre-qualified. Once you know how much house you can buy, then you will be able to determine which markets you can/cannot purchase in.

Lastly, properties that are owned by the banks (REO) are normally sold "as is," can require a lot of attention and deferred maintenance, as well as that you close quickly. Furthermore, most homes are still only selling for 90 cents on the dollar, not a real deal considering what you "may" walk into with your purchase.

My best advice: 1) get pre-qualified, 2) get a home inspection report. The banks will more than likely not fix any problems found in the inspection report, but that can help determine whether the property makes sense or not.

Again, if you are looking to invest, why foreclosures?

Denton Ward
Nationwide Real Estate Investments
http://www.nwrei.net

Hire a very good Realtor who knows your area and the neighborhoods and trends locally. But gauging where the bottom is in your area is going to be tough. Your one of those "crater" areas of subprime default explosions. But you really need someone to explain to you that this may NOT be the best route to take to get a great deal. I take it that is WHY you are looking at these properties? Remember, you've still GOT to qualify, no silly money running around anymore. Get a Realtor. If you are a first timer homebuyer this is NOT the time to strike out on the journey of homeownership with hiring a great guide to assist you.

Check your Local MLS. There is so much data on your Area's sales, pendings, etc. It takes time to learn how to fully utilize the MLS, but your MLS should provide classes if needed.

Sorry i thought you were an agent, as a person without MLS data, there are plenty of public records available with recent closes.

Good Luck