Foreclosure Expenses
What is the deal with foreclosures?
My boyfriend is looking for a cheap house in Pennsylvania. He is considering foreclosure houses. This would be his first time living on his own. Neither of us have any idea on this subject. So if he decides to buy a foreclosure house. How would he go about paying for it? Do you pay instantly or monthly? If you do pay instantly, besides utilities and taxes are there any other expenses? Any information would be helpful at this point. Thanks a lot!
Hi frosty052489,
Here are few things you need to know about bank owned homes.
~Banks are overwhelmed right now dealing with their foreclosures; therefore, response time is very slow. Close of escrow can take be up to 60-120 days.
~They usually sell their home at rock bottom price. The negotiation for much lower price is slim. In your case, go ahead and give it a shot. What banks care about is their bottom line.
~Banks do not conduct any repairs; therefore, get it inspected so there will be no surprises. Make your offer contingent on the inspection.
~Find a real estate professional that has experience in dealing with banks. Also look for someone that has an ABR (Accredited Buyer’s Representative) designation. Go to http://www.rebac.org to find one in your area.
There are many more details. Your real estate professional can guide you through the process.
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