Looking for a foreclosure, bank-owned or short sale but need to be able to live in the home immediately after closing?
Good news is that foreclosures are no longer always trashed, fixer-uppers. Today's foreclosures can be simply AWESOME! This economy has forced builders and responsible homeowners alike to let amazing properties go back to the bank. Many are still in pristine condition. Some still may require a bit of cleanup or a few cosmetic changes but there are many in move in condition too.
Here are a few of the treasures I noted on the Twin Cities MLS in Anoka County today:
- New Construction Foreclosure Brick Rambler in Ham Lake! Acre lot, 6 car attached garage, executive 4BR/3BA with hardwood, tile, vaults and more. 80% complete. Builder price $480K, bank asking $279,900.
- 3500 Sq ft Executive Rambler on Ham Lake acreage. 4BR/3BA/4Car on 1.8 acre lot. Cherry cabinets. Hwd floors, media room, 2 decks +++ Builder listed for $799K in 2007. Bank asking $499K.
- 4+ Beautiful Acres 5BR/2BA/3Car in Columbus. Originally sold in 2005 for $322K…Bank asking $175K.
- 1996 Built Modified 2 Story on 25+Acres in St Francis 4BR/2BA with 3 car, wooded setting, Hwd floors, Master suite, gas fpl in finished family room listed by bank for $239K!
- Coon Lake Shoreline 4BR/5BA/5Car in Ham Lake 85+ft shoreline and 2+Acres. Entertainers dream 2 Story w/2 full kitchens &Master suites! w/o basement. Original list $650K now priced to sell at $454,900.
- 2 story on Pet Lake in Linwood! Not a foreclosure, but priced like one! Just listed today at $180K ($40K under tax value)! Well maintained 2BR/3BA/2Car w/Hickory cabinets and SS Appliances.
- New Construction Foreclosure 5BR Two Story in Ham Lake! Acre lot, Completely finished with upgrades: Cherry cabinets, upstairs laundry, private master suite. Builder price $570K, bank asking $369,900
Seven Tips for homebuyers considering a foreclosed home:
- Banks LOVE clean offers. Buyers MUST be preapproved with credit checked and employment and funds verified. Documentation must accompany the offer or it won't be considered.
- Banks reject lowball offers...no negotiation. They are a business and know the value of the asset they are selling.
- Well priced foreclosed homes get multiple offers. Serious buyers put in their best bid first.
- Banks sell homes AS-IS. What you see is what you get. Repairs will not be made.
- Banks will not pay for inspections in most cases. This includes the septic system and/or well. Be prepared as all inspections could end up being the buyer's responsibility. If you chose to inspect the septic or the county requires a septic compliance test, expect to pay $400-$500 for this inspection. A well test will run around $150. A whole house inspection is $350-$500.
- Personal property is not included as part of the sale. So if the appliances are at the home when you close, they are a bonus. The bank will not remove. But they don't guarantee will remain at the home or that they are in working order. This means if someone breaks in the home prior to the closing and takes them, the bank will not replace.
- Having your own REALTOR® to represent your interests is essential. The listing agent is under contract to represent the bank. In many cases, the bank will not allow a dual agency so if a buyer contacts the listing agent to write the offer, the buyer does not have representation. This means all of your information goes to the bank...the listing agent is required to tell the bank everything that you say about your financing and the amount you are able or willing to pay. But the agent is not required to tell you anything in return. The agent works only for the bank.
Copyright 2010 Teri Eckholm