How To Buy Foreclosures The Smart Way

Buying a bank-owned foreclosure is an often an attractive prospect owing to the fact that they are available below market-value. Bank foreclosures are properties that have come into possession of the bank following a failure to sell at the foreclosure auction. As such, there are other advantages besides the lower value. For starters, it removes the hassle of having to deal with (a possibly disgruntled) home-owner. With the bank in possession, any liens or taxes associated with property are likely to have been waived.
However, buyers need to exercise caution before finalizing the deal. These homes are likely to be not ready for occupation, and in need of repairs and updates. It is, therefore, advisable to seek a home inspection to assess the costs that will need to be factored in to the overall value of the house.
To give you an overall view about bank-owned foreclosures, here’s a handy infographic detailing what a bank-owned foreclosure is, it’s advantages and the steps to go about purchasing one.