| A repossessed home is a residence that a bank has | | | | are several things you should know. |
| taken ownership of because the homeowner has | | | | It is not enough to simply look at a price and take the |
| failed to make his mortgage payments. While | | | | deal. Because repossessed homes are sold in "as is" |
| foreclosures have always been a part of the lending | | | | condition, if there are repairs to be made and you buy |
| process, in recent years the number of repossessed | | | | the home you will have to pay for them. Don't expect |
| home have hit record highs. From Los Angeles to New | | | | the bank to cover the cost of any repairs. |
| York City banks are foreclosing on homes at rates not | | | | Since you are looking at homes that are currently in |
| seen since the Great Depression. This has left many | | | | foreclosure, there is a good chance that their titles |
| of the nations biggest banks with huge inventories of | | | | may have outstanding liens or taxes owed on them. |
| repossessed homes that they are desperately trying | | | | While the bank usually clears the title before it puts the |
| to sell. | | | | home up for sale, it is always better to be safe than |
| As a general rule, banks hate being involved in the real | | | | sorry and check the title yourself. |
| estate market. Not only do they have to pay for the | | | | Since most banks have large and growing inventories, |
| fees associated with selling the home, but they also | | | | they are desperate to negotiate and make deals. Even |
| have to pay the costs of maintaining the homes. | | | | if you don't have much experience, if you are a |
| Foreclosures are also a liability to banks as they | | | | qualified homeowner with good credit you may be |
| represent bad loans and failed policies. For these | | | | able to talk them down and get them to not only lower |
| reasons and more banks are desperate to get rid of | | | | the asking price but to also pay for all closing costs. It is |
| these foreclosed homes and are often offering them | | | | also always a good idea to negotiate a lower down |
| at well below their market value price. | | | | payment and a good financing package. |
| If you are interested in buying a foreclosed home there | | | | |