How Do You Buy Bank Foreclosed Houses?
A bank foreclosed home is not necessarily a home owned by the bank. In a foreclosure action, a borrower defaults on their mortgage usually by missing four consecutive payments or falling in arrears to an amount stipulated in the mortgage note. As a result, the lending bank files a lawsuit or initiates a foreclosure action that is converted to bank-owned property if the home does not sell at auction. Identify suitable foreclosed houses on websites of banks in your area, through local real estate brokerages, local newspapers and the county court’s website. All of these have listings of foreclosed houses and some will provide additional information, such as asking price. Once a list is compiled, visit each home to visually inspect it for damage (roof leaks, appliance working condition, etc.) and any maintenance issues (interior and exterior paint, flooring, landscaping, and so on). Determine the market value of the foreclosed houses. Property values can be determined by comparing other ho
