Should You Buy a Foreclosure?

The latest media reports are projecting a second tidal wave of foreclosuresist2_4152871-home-loan to hit in late 2009 or early 2010 as unemployment remains high, home prices continue to fall and banks’ self-imposed foreclosure moratoriums expire.

Now may seem like the perfect time to find prime real estate at a bargain-basement price and buy a foreclosure.

Despite the hype, nationwide, foreclosures still comprise less than 3 percent of the actual market nationwide.

In reality the foreclosure market is very small. Delinquent mortgages have hit about 7 percent of total properties, which means that 93 percent are still in good standing.

Although, there are still plenty of foreclosure bargains out there, no matter where you live, especially if you are patient and well-educated in your market.

In order to get the best deal on a foreclosure you need to make a strong offer, likely in cash, without any inspection or financing contingencies.

With no contingencies you can save thousands of dollars. But that’s where a first-timer could get into trouble. The house could have problems with mechanicals, foundations, electrical or any number of big-ticket items. Always consider adding on an additional $10,000-$20,000 in the final purchase price to cover any hidden major expenses.

If you are interested in buying a foreclosure, contact Eddie Perez Broker-REALTOR, CDPE, to find out all the benefits and options. Eddie’s market includes Hoboken, Jersey City, Weehawken and Union City.  He can be reached at eddie@InvestHoboken.com or 201-344-2886.

Advertisements
Explore posts in the same categories: Foreclosure

Tags: ,

You can comment below, or link to this permanent URL from your own site.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: