Finding Repossessed Homes With a Bank Foreclosure Listings
What is a bank foreclosure listing?
Bank foreclosure listings are a way in which banks can get rid of their growing
inventory of properties that they had repossess because their borrowers defaulted on
their mortgage agreements. They provide homebuyers with a collection of important
data that is needed to make an inform decision. The number of REO is steadily
increasing, so bank foreclosure listings are efforts to efficiently market and sell
these properties, which are liabilities to banks and mortgage companies.
Internet: Most foreclosure listings can be found online allowing homebuyers
to conduct their search at anytime. There are great bargains awaiting in
bank foreclosure listings.
Free: Recently, there has been a surge of
free foreclosure listings on the web as a result of the high demand and
fierce competition in the foreclosure market. However, keep in mind that
most of these listings are not regularly updated, are often incomplete,
and contain a plethora of inaccuracies. Also, note that the best
properties on free foreclosure listings are snatched away within hours
after they are listed. Real estate investors are not just making random
guesses about which listing seems notable; they're not just casually
weaving through thousands of websites while simultaneously watching
American Idol after dinner. The most experienced investors who hunt for
repossessed homes for a living are familiar with the ins and outs of
finding great deals on foreclosure properties; thus, they are generally
the ones who snag the most profitable properties.
Paid: Locating foreclosure properties can be
a real mission. If you ask any experienced investor, he or she will tell
you that a reliable foreclosure list is an essential tool in finding the
ideal foreclosure property. The most reliable foreclosure listings are
paid-searches. Paid searches are maintained by professionals who manage
listing sites on a daily basis in order to ensure that the homebuyer
will get updated and accurate information, which is critical because it
is not uncommon that a foreclosure home has hidden costs that are not
included in the home price. Some information that are essential in
searching for a good REO investment include: address of property, name
of the owner, trustee(s) or lender(s) involved with the foreclosure, an
estimate of the unpaid loan balance, etc. Those who use paid listings
have an advantage because they receive additional information such
property tax liens that the property may have and as well as the
previous owner's bankruptcy information (if applicable). Some paid
searches offer the borrower's History of Notices before the home was
repossessed (this way you can know if there is more than one lender who
is foreclosing).
Bank/lending company's website: Investors can go directly to the lenders themselves
Unlike listings posted on individual banks, paid searches hold listings
for properties owned by a number of different lenders and banks; thus, a
homebuyer will have a wider variety of options to choose from. The
owner's contact information should be provided with the description of
the home. If you go to statelocalgov.net, you can find the local
property assessor in your area in order to obtain the contact
information of the owner of a property.
Smaller local banks usually have just one individual who is in charge of
the bank's REO inventory. Generally, investors do look for listings held
by small, local banks. They contact them after they have found a
property, and the local bank happens to be its owner.
Local realtors can also help guide you through the process. It is a good
idea to make sure that the realtor has experience with buying
foreclosures because there are enough differences in the processes that
make it difficult for a unexperienced realtor to provide you sufficient
service.