I'm interested in Bank Owned homes only

Asked by Carole Brusen, 48047 Tue Nov 13, 2007

I'm looking for a bank owned home in the Anchor Bay school district, near zip 48047. 3 bedroom, 2 bath.

Help the community by answering this question:

+ web reference
Web reference:

Answers

11
George Anton…, Agent, Madison, CT
Tue Nov 13, 2007
Hi Carole,

You should be aware that sometimes homes that are owned by banks have not been maintained as well as others. While it seems that you would get a great deal consider this.

If the bank had to take ownership of the property it is becasue the owner was unable to pay the mortgage. That being the case, would you think they had the money to maintain the home?

A current client of mine thought he was getting a great deal on a foreclosure. He puchased the home for $50,000 less than similar new homes in the area. Once he moved in he found he needed a new septic system, and furnace. Not a good deal after all.

If you need any more help let me know.

All The Best

George Antonopoulos

Realtor
Shoreline Property Specialist
Coldwell Banker Residential Brokerage
Madison, CT

800-759-6936
george@shorelineRE.com
2 votes
Ginger R., Home Seller, Massachusetts
Wed Nov 14, 2007
I was the winning bidder at a public auction of a bank owned property. The house was in horrible shape with serious structural issues. My bid reflected the cost of repairs. The bank rejected my winning bid. They are still trying to sell this house some 10 months later.
The comments below, that these homes are in tough shape, are very valid. First, the person living there has sometimes trashed the house, second, the house has been empty, possibly vandalized, and not maintained eg burst pipes, etc.
Many years ago, I did buy a HUD property and it was a great little house.
1 vote
Pam Winterba…, Agent, Danville, VA
Tue Nov 13, 2007
Carole....I will be direct here....do you feel you can get a great deal on a bank owned property? Bank owned propeprties are very difficult to negotiate with and are not necessarly good buys. Many or most are sold as is without inspections and or clearances. Some have been trashed after foreclosure. Most bank owned properties are listed with varying Realtors throughout the community.
1 vote
Emily Erekuff, Home Owner, Menifee, CA
Wed Nov 21, 2007
Hi Carole,

You can now use Trulia to find foreclosure listings. On our results page you'll now find a selection for 'Resale', 'New Homes' and 'Foreclosure'. Access the link below to review our blog post to find out more and check out the link further below to view the 3-bed, 2-bath foreclosure listings in your area.

http://www.truliablog.com/?p=245

Best Wishes,

Emily Gibson
Customer Service Representative
0 votes
Lola Audu, , Grand Rapids, MI
Tue Nov 20, 2007
Foreclosed homes can be an excellent way to purchase a great deal in Michigan. However, they are not the only option available to home buyers who want to stretch the dollar as far as they can. Foreclosed homes are often listed on the local Multiple Listing Service or can be located on other sites...but foreclosures are usually sold through the services of a real estate broker.

There are several considerations which are applicable to correctly purchasing a foreclosed home. It is also important to note that there are different issues which arise when a home is a short sale or in a pre-foreclosure stage. So, first make sure you correctly identify the legal status of a home prior to pursuing a home purchase.

If a foreclosure has a occurred and the redemption period has expired, the sale will proceed in somewhat the same fashion that a normal home would with...certain caveats. First, the home is Sold as IS. There may be some rather unpleasant surprises. Inspections are for your benefit only...often you will not be able to negotiate on the basis of the results of an inspection. You may not get the keys to your property at the closing due to technical issues which affect the transfer of ownership.

If you're interested in reading more, I have written a series for homebuyers on my blog: http://activerain.com/blogs/auduhomes which gives detailed information about some of the issues you should be aware of when purchasing a property which is a short sale or foreclosure. Click on the home buyer tabs.
Web Reference:  http://www.auduhomes.com
0 votes
Jim Walker, Agent, Carmichael, CA
Sun Nov 18, 2007
CAROLE B

Most foreclosures are in WORSE condition and have HIGHER list prices than equivalent motivated owner homes. This is why you should want to compare regular listings with Bank REO's. If you look only at Bank homes, you are likely to overpay.
0 votes
Alton Darty, , 72370
Thu Nov 15, 2007
A bank owned property could be a really good deal, with a few conditions...
Low price for the area, really low, it will need a LOT of work..
You are willing to do the work, or oversee the work that will need to be done, it will need a lot of work...
You can afford the repairs that are needed, remember, it will need a lot of work...

I did an inspection last week of a bank owned property. The buyer got lucky on this one, it had been very well maintained for quite some time, with a lack of upkeep in only the past year or two. While there was a lot of work that was needed, the home is basically sound and the majority of repairs are only cosmetic. And the majority of the repairs are things that the buyer would want to change anyway, carpet, paint, lighting fixtures...
But this one was an exception, I have inspected several that I personally would have ran from, screaming and crying and hiding my checkbook.

Bottom line, be ready to spend lots of time, money and effort on these properties.

If you like that type of challenge and can get the bank to agree to your price, go for it, breathing new life into a tired building can have a lot of rewards of it's own.
Web Reference:  http://www.arinspections.com
0 votes
Bob Mitchell, Agent, Warren, MI
Wed Nov 14, 2007
Hi Carole,
I sell bank owned homes in the area. I would suggest looking at all the homes on the market that fit what you are looking for and in the price range you want to stay in as there are some good deals on private owned homes also and you don't want to miss a possible fit because it wasn't bank owned. I have some bank owned home information on my web site also.
0 votes
Bill Snyder, , Yuma County, CO
Wed Nov 14, 2007
I HAVE BEEN SELLING BANK REPOS FOR 14 YEARS AND MOST OF THE TIME THEY START PRICING AT MARKET VALUE . FEW PRICE THE 20 % BELOW MARKET YOU EXPECT ! TIMMING IS CRUCIAL 3 TO 4 MONTHS . THEY HAVE HAD 3 PRICE REDUCTIONS ON THE MARKET AT THIS THE BANK IS DESPERATE TO SELL AND WILL CONSIDER ALL OFFERS ! I HAVE GOTTEN A LOT OF GREAT DEALS FOR MY CLIENTS . MAKE SURE YOU GET AN AGENT THAT KNOWS HOW TO DEAL WITH THE BANKS IT MAKES A BIG DIFFERANCE , MOST AGENT DON'T LIKE TO WORK WITH BANKS BECAUSE THEY ARE MORE WORK ,CHOSE THERE TITLE COMPANY ,AND HAVE SPECIAL ADDENDIUMS .
0 votes
The Hagley G…, Agent, Pleasanton, CA
Wed Nov 14, 2007
I am an investor and a Realtor...I have bid on two bank owned homes in the last couple of months. Both times the bank came back woth ridiculous offers....and the homes were in horrible shape.
Web Reference:  http://www.cindihagley.com
0 votes
Perry Hender…, Agent, Austin, TX
Tue Nov 13, 2007
REO's are the only "sellers market" in the biz right now. With all the buy foreclosure tv ads going, what makes you think that you are going to get the best deal when 50 people bid on the same property that is already market priced.

Bank owned homes = new or novice investor.

Better stratgey, write a hand wirtten note and put it on the door of every house in a neighborhood you want to buy. You get better deals and better terms. My note usually says "my girlfriend and I are thinking about buying a house and yours looks cute from the outside. Do you know anyone who wants to sell in this neighborhood?" Works every time.
0 votes
Search Advice
Search
Ask our community a question

Email me when…

Learn more