Home Buying in 12866>Question Details

Karen, Home Buyer in cosgrove

If you purchase a foreclosure property, have the 20% down, can you still finance through any bank or do you

Asked by Karen, cosgrove Sun May 4, 2008

need to meet special financing requirments?
Also, what kind of documentation is needed to prove income? If retired and you have the down payment, can purchase be made?

Help the community by answering this question:


Banks are very specific about certain terms, They usually want a fast close. In this market everything is negotable if you have the right agent.
0 votes Thank Flag Link Fri Feb 13, 2009
As long as you are qualified to purchase the property in question you should have no trouble. With some REO properties the banks have certain requirements. You need to be aware of those in advance and I most always suggest you have your financing lined up in advance regardless of purchasing a foreclosure or any other type of purchasing transaction. This places you in the strongest position for purchasing and negotiating and this will save you time and energy in the long run.
If you are not working with an agent in the 12866 zip code area and are still in search of a property or need a strong negotiator, please call upon one of our agents, including myself. We are always available to assist buyers in their quest for a new home. cquade@nycap.rr.com
0 votes Thank Flag Link Thu Feb 12, 2009
You can choose any lender you wish to purchase a foreclosure property, although typically banks will require that you use a direct lender rather than a mortgage broker. Also, if you're considering buying a bank-owned (REO) property, there are times when the bank will offer incentives to use their services rather than those of an outside lender. You will need to provide income documentation and proof of funds for the downpayment to the lender, which can often be satisified by copies of bank statements and prior year tax returns.
0 votes Thank Flag Link Sun May 4, 2008
Yes yes and yes.

you can choose any lender which you wish. Of course, you will be subject to their stipulations, terms of loans, and conditions. Having the 20% doesn't guarantee you a loan, but it definitely helps out.

To prove income, of course any current pay stubs (put you are retired), so information from investments, cash flow, retirement checks etc will be needed.

Hunter Jackson
0 votes Thank Flag Link Sun May 4, 2008
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