Short Sales Education - Top Ten Tips To Buying Foreclosures

The numbers of reported foreclosures nationwide hitadvised to partner with a contractor so that you are
2.8 Million in 2009.  The number of foreclosures forassured that you are being provided the proper
sale is astounding and although there are manyinspections and accurate costs to fix up the property.
opportunities to purchase a foreclosure for a huge5. Get professional advice
discount, buyers should be aware of the issues thatNever take any short cuts when purchasing a high
may come from these distressed properties. Anyvalued investment such as a home. Do not try to cut
buyer of a foreclosure should practice soundcorners and get free advice as it could lead to costly
investment practices otherwise they may be puttingmistakes.
their money into a potential money pit.6. Make an offer below Market Price
If you are looking to purchase a property via a shortDon't get caught up in a bidding war and over pay for
sale, here are the top tips to following while you area home no matter how much you like the home. If
shopping for a foreclosure.there is a bidding situation, you will never be able to
1. Do not catch yourself in the foreclosure crazebeat an unrealistic buyer.
Every foreclosure is not a good investment. Do your7. Verify a clean title
research and make sure you set an offer price that isIf you are purchasing a home through a public auction,
still under current market rate, with adjustments to itsyou will not have enough time to research whether or
condition.not the property has a clear title.
2. Determine the type of foreclosure you can buy8. Contact banks or agents
The ability to determine what type of foreclosure youIf you are interested in purchasing a foreclosure, build
can purchase is based on your financial constraints.your network of real estate professionals to help you
There is the choice to purchase through traditionalidentify foreclosures in the areas you are interested in
financing, all cashed, or owner financing.buying.
3. Get your finances in order9. Inspect the property
When deciding to purchase a foreclosure, you shouldAlways, always inspect a property before purchase.
always have your finances in order for the fastestDistressed homeowners are also known to defer
close possible. Doing so will allow you the best positionmaintenance on their homes and sometimes commit
over other offers.damage to the home before leaving.
4. Join with Contractors to Find fixer uppers10. Have patience
That fact that foreclosures can yield significantDo not get discouraged if you are not able to
discounts; it is a great opportunity to look for fixerpurchase a foreclosure immediately. Do not rush any
uppers that can be turned around for a profit. It is highlytransaction without performing the proper due diligence.