If you’re looking for a good deal on a home, a foreclosure just might be the way to go.  A few dollars and a lot of sweat equity may pay large dividends, but there are a few things you should know before you start your search.

  1. Have your money or financing in place prior to starting your foreclosure search.  All offers require a “pre-approval” or “proof of funds statement” from your bank.  You don’t want to miss out on a house because you aren’t ready to submit an offer.
  2. Foreclosures can be found with your Keuka Lake and Land Realty Team through the MLS (multiple listing service).  Other sites that will show foreclosures include www.KeukaRE.com, realtor.com, and homesteadnet.com.  Beware of websites that charge you to view foreclosures, they are a scam.  Foreclosures that are truly for sale are freely advertised.
  3. Any able buyer can purchase a foreclosure and in certain cases people such as “Owner Occupants” and “Good Samaritans” (law enforcement, firefighters, and teachers) have priority when purchasing foreclosures.  Investors love foreclosures and can be your biggest competition the advantage most of them have is they are usually cash buyers.
  4. Foreclosures are sold “AS-IS” so it’s important to be familiar with construction or have someone who is, look at all aspects of the home.  Foreclosures are often winterized by the bank that has them in their possession but the home may have been vacant and unheated for years prior to the bank winterizing the property.  Assume repairs will be required when purchasing a foreclosure.
  5. Buyers of foreclosed property will incur some additional costs above those of a normal real estate sale.  These additional cost can include abstract($500), survey ($600),   septic pump and inspection ($300), water test ($140)
  6. Foreclosures are extremely competitive so act fast.  Once the home is placed on the market there are numerous showing and often multiple offers.  Foreclosures usually sell near or above the asking price so make your offer a good one.

The Keuka Lake and Land Realty Team is well versed in helping its clients find and purchase foreclosures.  Let our years of experience and hundreds of forecloses sales help guide you through finding the foreclosure that’s right for you.