Foreclosure Houses?

Asked by Noel Woe, Philadelphia, PA Fri Jan 9, 2009

Are foreclosure houses really good deals? I've been looking around in Ridely and Prospect Park area?

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7
Bill Eckler, Agent, Venice, FL
Fri Jan 16, 2009
Noel,

It would be a gross injustice to lead peoople to thing that all foreclosure property represented a really good deal. The truth is the foreclosure market is identical to the normal market with its availability of great opportunities and not such good opportunities as well as those in between.

This is the type of market that if you are thorough and do some research, you will be able to sav yourself some money and find a wonderful home.
0 votes
Cheryl R. Su…, , Schwenksville, PA
Fri Jan 16, 2009
Well unfortunately these days, 90% of all homes in this market are in foreclosure, a short sale, or about to be. My suggestion is to find the home you love and make an offer. You may go through 10 offers before getting the best deal. The worst thing that could happen is the seller says no to your offer. I say go for it and look at all the houses. Let me know if that helps.
0 votes
Peter Lavelle, Agent, Philadelphia, PA
Fri Jan 9, 2009
Good Afternoon Noel,

Good deals? That term is all relative to what your primary goal is. There is a substantial amount of homes on the market that just may be a better deal than a foreclosure. In Delaware county today, the current amount of active and pending residential properties can be viewed @ http://houseshomesrealesate.com . With a foreclosure, what you see is what you get, are you handy? Maybe a property that is not a foreclosure, and the owner is willing to accept a lower price in lieu of repairs? Just something for you ponder. Hope you the best.
0 votes
Carol Cei, Agent, Maple Glen, PA
Fri Jan 9, 2009
Hello, Noel,

Every deal is a different deal. I, too, have seen a lot of the properties in those areas. Some have been great buys - others are not.

You need to determine a few things:

1. How much do you have to spend on the purchase
2. How much would you have in reserve for repairs
3. Most importantly - what are the comparables for the area ...and make sure they are truly COMPARABLE.
4. What kind of financing can you obtain (if you are not a cash buyer)

When you have answered all of these questions, get with your buyer agent and decide on a case by case basis. Remember, LOCATION, LOCATION, LOCATION. Sometimes, if you are getting a good buy because of an external obsolescence, you will be giving someone else a good buy when you sell in the future. Some things can never be changed.

Let me know if I can help you further.

Carol Cei
ReMax Millennium
215-643-9661
carolcei@remax.net
0 votes
Tina D'Amato, Agent, Sciota, PA
Fri Jan 9, 2009
Forclosed properties can be very good deals. Its important to have your agent do homework on the particular property. You want them to do comps to see what the house can sell at in good shape. This way you have an idea how much equity will be in the house once you have purchased, payed for closing costs, and any improvments that you might need.

Do remember that forclosed properties are usually "as is" sales, which means banks 96% of the time will not help you with anything wrong with the property. It is very important to have a home inspection done by a licensed inspector. (This way you know what your getting your self into as far as repairs are concerned.) Your contract should reflect that the purchase of the home is contingent upon the inspections. Which means you can get out of purchasing the home (with deposit money returned to you) if the inspections did not go well, or to much money would need to be invested into the home to make it a Good Buy.

There are many forclosures out there that are in great shape, that you can purchase at an amazing price, so please dont make the above paragraph steer you away from a good forclosure. Just be aware of the process.

Good Luck and If you need a Top Realtor in your area that is familiar with the forclosure process, I would be happy to set you up with one.

Thank you,

Tina D'Amato
Realtor

Direct 570-807-8631 Anytime!
Office- 570-992-9644 ext 15
0 votes
Renee Porsia, Agent, Newtown, PA
Fri Jan 9, 2009
Hi Noel

How are you?

I work with many different banks and have been working with foreclosures for 10 years now. What I can tell you is that a foreclosure can be a very good deal depending on the situation. Foreclosures are a lot of work. I would have to know a bit more about your situation such as are you looking to live in the property or use for investment, how soon do you want to move in if you will live in it, do you have money to put down on it as well as have all inspections and for any repairs that you will be responsible for that the bank will not pay for? Those are just a few questions to start with.

Dealing with banks can be difficult for someone who is not experienced. So, if you are looking for a buyer agent to assist you with finding a foreclosure make sure to find out how many foreclosures the Realtor has dealt with and then make sure they know how to deal with banks. You need an aggressive Realtor who is not afraid to fight for their client.

I'd love to hear more about your situation. Feel free to email me.

Good luck.

Renee Porsia
Associate Broker
RE/MAX ACTION
(215) 669-0589 Direct
(215) 358-1100 Office Ask For Renee
http://www.reneeporsia.com Where you can register for Free to get every new listing and investment property emailed to you. Try it right now!
0 votes
Terrence Cha…, Home Owner, Allentown, PA
Fri Jan 9, 2009
It all depends on the home and what you wish to do with it. If you want to fix it up and sell it for profit, it may not be a good idea. This would be dependant on how much the property is and what it would appraise for if it was fixed up. If you were to purchase the property to live in, it could be very good especially if you live in it for several years.

Let me know if you need to see some properties.

Terrence Charest, e-Pro®
REALTOR®
Century 21 Associates
905 Easton Road
Willow Grove, PA 19090
Cell (Preferred): 267.614.1494
Office: 215.659.5250
Fax: 215.659.5550
tcharest@HomesForFreedom.com
0 votes
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