The Woodlands Real Estate Experts

HOW TO BE A FRONT-RUNNER IN THE FORECLOSURE OFFER!

HOW TO BE A FRONT-RUNNER IN THE FORECLOSURE OFFER!

So you want to purchase a foreclosure? If you are truly serious, there are some proactive things that you CAN do to increase your chances of getting that home. You have to be willing however to be realistic and to be ready to pull the trigger.

This post was inspired by Lenn Harley's post this morning, MR. BUYER. . . DO YOU WANT TO BUY THIS FORECLOSURE OR IS YOUR KNEE JUST JERKING??? Lenn is the go-to person on this site as her wisdom and sound advice are always appreciated. Lenn pointed out that many folks want foreclosures but they just don't go in with realistic offers.

I just had a successful multiple-offer situation with my clients. These people have been looking for months. They listened to me and when they found what they wanted, they were READY. Being ready is the KEY. How to be ready, here are some tips:

BEFOREyou begin looking, make sure you are Pre-Qualified! Have the letter ready to go.
Be REALISTICin your offer. These homes are already priced lower than the market so don't think that going in way under this will put you at the top of the list. If you want the property, look at the comps in the area and make a STRONG offer.
There WILLmost likely be multiple offers. Be prepared to wait.
Have an aggressive CLOSING DATE. The quicker that you can close, the better your chances of having your offer considered.
A strong down payment also looks good as well.
Don't go in thinking you can put in a contingency on another sell. They will trash your offer.
Be prepared to act quickly. If you find the property and like it - MAKE THE OFFER! Too many folks wait and lose out during that time.
Make sure that you are available to sign docs in a timely fashion. If they come back to negotiate with you, they expect speed. Even though they take their time, when they are ready to play ball, you best be ready to hit.
Understand that you will be buying the home AS-IS. Don't expect any repairs to be done. The home will NOT be perfect so make sure you are prepared to come out of pocket on some repairs.
DO have as many inspections as you can. KNOWING what you are buying is paramount.