When you shop for an REO, consider the same things you would in any other home – location, condition, features and price. Foreclosures are often in poor repair, so be prepared to put sweat equity into the home or to hire a contractor. Banks seldom do any more than make repairs required by federal lending standards. REOs are sold “as is,” which means buyer beware. Before you put a contract on an REO, take some pictures of areas that need repair and try to interview some contractors to get an idea of what it would cost to fix them. Talk to your lender. Federal insurers such as FHA and VA have home improvement loan programs that may help.
If you have questions on Foreclosures and Short Sales or any part of the home buying process please, Don’t hesitate to Contact Me!