If you are one of the millions of Americans who are watching their budget these days, you may want to consider purchasing a bank foreclosed home. If your landlord stops paying their mortgage the bank will often begin the foreclosure process to take back the building. Most auctions require payment in full via cash, cashier’s check, or money order. If you’re thinking about buying a foreclosed property and have enough cash for the purchase, it’s helpful to evaluate the benefits of your choices.
EFCU offers loans with down payments as low as 5%. If your dream foreclosure’ is in livable condition, and lenders consider you a good risk, you may qualify for a conventional mortgage. A foreclosed home isn’t the right choice for everyone, but for buyers willing to take on the extra legwork, purchasing a foreclosure can be a great way to get a deal on your dream house.
Or, find a real estate professional who works extensively in the foreclosure arena who will have more experience in bank-owned properties. Real estate foreclosures on are updated regularly and are placed into one of five main categories of our foreclosure listings’ database: foreclosures , foreclosure homes , pre-foreclosures, auctions and short sales.
When the properties are foreclosed by the banks, because of unpaid payments, it is known as foreclosed and bank owned homes. If the homeowners are unable to repay their home mortgage loans amount even after receiving the reminder letter then the bank will show no more mercy and they will foreclosed their homes.
If the bank approves your offer and the inspection doesn’t turn up any serious red flags, your sale will progress as normal. If a house is up for auction with an opening bid far below its current market value, it’s likely to be snatched up by professionals who regularly attend the auctions, armed with stacks of cashier’s checks to pay the full amount.