Posted by lisa on April 29, 2004 at 15:59:07:
do you think i should get a real estate attorney …thanks
foreclosures - Posted by lisa
Posted by lisa on April 29, 2004 at 12:28:42:
i am interested in purchasing a foreclosed home in my area, what should i watch for?is there any reading material i should get to help me i have never done this before…
Re: foreclosures - Posted by jack
Posted by jack on April 29, 2004 at 14:02:51:
Lisa,
I know I walk the property, inside and out to get a good idea of what needs to be done to make the property saleable or usable for some sort of rent to situation. If you notice any sort of structural problem, cracks in the foundation larger than an eighth inch or wider, then run (don’t walk) away from the property. The property should not require any more than cosmetic fixups (like paint or carpet), or kitchen updates or upgrades. Anything more and you should consider whether you really want to invest a large of amount of your time and money to repair.
Then get a market comparative analysis for similar properties that recently sold in the area, and do a rent analysis of the area. These will help you determine your exit strategy from this property, translated that means you can tell if the property will flip, or whether your exit will be sometime further in the future. I am sure someone can point you in the direction of Foreclosure Checklist so you don’t miss something major.
I do not know if you are just talking properties that have already been foreclosed upon(a REO “real estate owned” by the bank) , or if you are talking about pre-foreclosures. If you are talking about pre-foreclosures then you also need to take a look at title history, and that requires a visit the local Registry of Deeds, or City or County Clerk’s office. But other people will tell you that a Title company can do this for you.
Jack