Buying a foreclosure can have many benefits, but it is very important that you understand the full process before you make the decision that a foreclosure is right for you. The process to buy a home that is in foreclosure takes a little more time and there are a few extra steps that need to happen before the home is yours.
What is a Foreclosure?
A foreclosed home is one that is owned by a bank, because the property was turned back over to the mortgage holder when the homeowner was unable to make payments on their home. Foreclosures became much more common during the economic uncertainty that has occurred in the past, opening many opportunities for people who are interested in purchasing a home at a discounted price. If you are interested in buying an Atlanta foreclosure, then you need to make sure that you are working with a trusted real estate agent in Atlanta who is familiar with the area and can help you with the buying process.
Quality of Foreclosed Homes
When you are buying a foreclosure, it is important to understand that it might take some time to find the right deal. Additionally, there is a higher possibility that you might need to do some renovations or repair work because the home wasn’t left in a good condition. Sometimes, homeowners are upset because they are being evicted, so they don’t take the time to clean the house when they leave. There is also the possibility of vandalism or damage. The advantage of buying a foreclosed home from the bank, instead of directly from the home owner, is that you have the opportunity to inspect the home before the purchase. You can see the quality of the exterior and interior to estimate how much you will need to pay for repairs.
Are Home Auctions a Good Idea?
Some people are interested in the process of buying foreclosed homes through real estate auctions. But, the truth is that these auctions are much more risky, because there are certain problems that you might be facing. For example, you don’t have the opportunity to inspect the home before making the purchase, so you don’t know how much damage will need to be repaired. Another problem with auction purchases is the potential of senior liens that will need to be paid, such as outstanding taxes on the property. If these liens are present, then you will be stuck with the bill which might increase your out-of-pocket expenses significantly.
Good Opportunities, But Proceed with Caution
There are many good opportunities available if you are interested in buying foreclosed properties, but it is important that you don’t rush the process. Make sure to use caution before you choose the home that you would like to buy, and be sure that you have an experienced real estate agent by your side every step of the way. At Duffy Realty of Atlanta, we have experience with all types of home purchases, including foreclosures in Atlanta. Contact us for more information about how we can help: (678) 318-1700