In order to help you find the best deals that come available, we have had to watch the market for homes before they hit the market as REO/bank owned listings. The lists provided are the lists we get 20 hours before the foreclosure sale. All properties that are foreclosed will be sold either at the auction, through the bank or as an REO. You will see that there are about 40-60 homes a week foreclosed. This is your opportunity to comb through the lists and search for zip codes in which you would like to purchase.
Reading the list is quite simple. The “Grantor” is the homeowner losing the home, and then there is the legal description and the address of the property. The “Current Beneficiary” is the lender or lien holder foreclosing. Then the most important line “The Lender’s Bid”. The lender’s bid is the starting price at the auction. You may purchase this home with $50 over the starting bid price so long as no one bids against you. The screaming good deals usually get bid up. Finally, the deficiency is the dollar amount in which the lender is willing to lose.
If you add the deficiency and the lender’s bid amount, you will get the total amount owed by the homeowner.
Note: It does not necessarily mean that it is a bad deal if there is no deficiency. Likewise, it does not mean that it is a good deal if there is a deficiency.
The best way to locate a good deal is to search the list based on zip codes in which you would like to purchase. You can then sign in to our “all homes for sale” search to see if the home is currently listed. If the home is not listed in our search, it is not an “active” listing. If it is not active, go to zillow.com and search there for a prior listing with pictures. Many times zillow will still show old listings that are not for sale. It is a great source to see what a property looks like. If there is nothing on zillow, go to the public records at: http://land.elpasoco.com/
There you can see the square footage, type of property, assessed value, lot size etc. Note: The assessed value is not always the true and accurate value. It can give you a general idea, but it should be used for tax purposes only. Finally, if the property seems like a good candidate, drive by to see if it is vacant or occupied. If you are lucky…it is unoccupied and the door is unlocked due to the owners abandoning the property. You can sometimes see the property before anyone else.
If you find a property you are interested in, contact us to help you determine if the home is a good deal or not. If so, we will prepare your offer and advise which window of opportunity you should take.
We will help you find a good deal no matter what stage of the purchasing window.
Maybe, you would rather give us your criteria and only alert you to what we determine are good deals meeting your criteria. We can do that as well.
Phone: 719-229-6945February 03, 2012 | No Comments