Repossessed Home Purchases?

[BadGirl]

I've been thinking about investing in some real estate - particularly homes that have been foreclosed on by banks. Have any of you had success in doing this? I would love to hear some of the plusses and minuses of these ventures before I sock some moolah into a Money Pit. -- BG

 

[crabcake]

Never done it but I will say this, based on a conversation I had with my realtor about doing the very same thing: realize that the housing market is really crazy right now ... it's a seller's market. Any half-way decent house (even foreclosures) will fly off the market in no time. You'll need to inspect the property too before you buy it so you know what you are in for, so be prepared to hike outta work on a moments notice to do that (in this market) to jump on something. It's a great plan for investing any extra cash you have b/c real estate is the most solid thing you can put your money into. But realize that money won't be your only investment; time will be a factor also.

Good luck!

 

[willie]

Originally posted by BadGirl
I've been thinking about investing in some real estate - particularly homes that have been foreclosed on by banks. Have any of you had success in doing this? I would love to hear some of the plusses and minuses of these ventures before I sock some moolah into a Money Pit. -- BG

In the period of time it takes a foreclosure to be finalized, the occupants typically do a lot of damage and in one case I had, they removed (stole) the built in cooktop and refrigerator besides the usual damage. If it is a County tax sale, you may get a very good deal but your money will be tied up for maybe a year before you can take possession. You can't lose money because if the defaulting owner makes good on the taxes they must repay you including interest. A bank repo is a different story. They have a bottom line where the "auction" will start and it appears to me that it is figured as the market value minus how much to have the house repaired. If you can live in this house while YOU do the repairs, it can be a good opportunity. Doing your own work is important.

 

[RoseRed]

read this

 

[Elle]

I'm assuming you are talking about the ones you go to the courthouse with a $4,000 cashier's check and bid on You can read the legal notices in the local paper. They list the address and the owners’ names so you can drive by ahead of time and check out the property.

 

[Kizzy]

If anyone gets their house foreclosed in this market, they need to be shot and hung because they are morons that do need to be in society.

 

[DoWhat]

Originally posted by IM4Change
they are morons that do need to be in society.

 

[Pete]

Originally posted by DoWhat

psssst, non-intellectual cleansing. In ethnic cleansing they shoot different races, here we are too civilized for that, but on the other hand if you shoot dumb people of all races that should be ok.

 

[crabcake]

Originally posted by IM4Change
If anyone gets their house foreclosed in this market, they need to be shot and hung because they are morons that do need to be in society.

you ain't BS'n!

 

[Kizzy]

Originally posted by DoWhat

Sucks when you forget to put in the word NOT.

 

[crabcake]

Originally posted by IM4Change
Sucks when you forget to put in the word NOT.

I knew what you meant when I quoted ya.

 

[unixpirate]

You all need to get a life!

 

[DoWhat]

Originally posted by unixpirate
You all need to get a life!

Thanks newbie!

 

[crabcake]

Originally posted by unixpirate
You all need to get a life!

why? :shrug: because we're interested in investing our money in something semi-stable?

 

[unixpirate]

No.. Not that. If I wanted to or was interested in purchasing a house or buying some house that is being fore closed on, I certainly wouldn't ask for ideas or advice from a forum. I would go to a proffesional. ie.. Realtor, Lawyer..
As a matter of fact I did purchase a house that was in foreclosure..
And some of the info that is provided is false. The house I bought was in great shape.. Also once the house is in foreclosure, the owners that did own the house are not allowed back in. The court takes the house.

 

[crabcake]

Originally posted by unixpirate
No.. Not that. If I wanted to or was interested in purchasing a house or buying some house that is being fore closed on, I certainly wouldn't ask for ideas or advice from a forum. I would go to a proffesional. ie.. Realtor, Lawyer..

:dur: what do you think the people who post on this forum are? let's see ... there are IT professionals, business owners, lenders, realtors, daycare providers, etc. Asking a "forum" for advice/information makes logical sense. :shrug:


okay, a few who are slackers, unemployed, diablo'd and all, but that's the small, small minority.

 

[BadGirl]

Originally posted by unixpirate
No.. Not that. If I wanted to or was interested in purchasing a house or buying some house that is being fore closed on, I certainly wouldn't ask for ideas or advice from a forum. I would go to a proffesional. ie.. Realtor, Lawyer..
As a matter of fact I did purchase a house that was in foreclosure..
And some of the info that is provided is false. The house I bought was in great shape.. Also once the house is in foreclosure, the owners that did own the house are not allowed back in. The court takes the house.

Actually, this t pe of forum is EXACTLY the audience that I wanted to address my question to. I wanted advice and insight from REAL people who perhaps may have gone through the process of purchasing foreclosed homes to hear about their true experiences. The professionals you cited can really only guide on the administrative processes of purchasing a home, but I am truly much more interested in what happens after the purchase of the home. Success stories? I wanted to hear about them. Failures? I wanted to hear about them, too. People on this forum have a vast knowledge base, and I am hoping to tap into it for their perspective. And thanks to all who have provided valuable advice - it's much appreciated. -- BG

 

[unixpirate]

Go to the back of the Empty Prise and you will see all kinds of foreclosures and who has taken custody of them. Call those people.
Always a Law Firm. They will give you the details and will even take you to the house and look around. We did buy the house as is, but it was fine.

 

[nomoney]

Originally posted by tatercake
:


okay, a few who are slackers, unemployed, diablo'd and all, but that's the small, small minority.

nice to meet you uni......I'm one of the slackers!

 

[crabcake]

Originally posted by unixpirate
Always a Law Firm. They will give you the details and will even take you to the house and look around. We did buy the house as is, but it was fine.

good on ya ... but the majority of foreclosures I've seen and heard about are not "fine". They are in need of cosmetic repair usually, and require replacement of appliances and things. You got lucky, it sounds.