Usually a lender obtains a security interest from a borrower who mortgages or pledges an asset like a house to secure the loan. The process of purchasing a foreclosed home varies from how traditional homes are sold. About 7.4 percent of homes in that area, known for its concentration of affluent African Americans, were empty in 2010, according to the Census Bureau, compared with 4.6 percent in Prince William County, another hard-hit area.
Because properties purchased from HUD are sold as is, and because foreclosed homes can have damage ranging from simple poor upkeep to stripped copper, the only reason you do that is for profit,” says Steve Stout, residential field supervisor at the Oklahoma County Assessor’s Office.
Among her litany of complaints against the candidate is the fact that he purchased a foreclosed home with his parents’ money. If homes in the area are selling quickly, or the market is getting torrid, start with your best and biggest bid. Your security deposit is legally your money unless it needs to be applied to unpaid rent or repairs.
This process is generally much faster and cheaper than foreclosure by judicial sale. If it’s a short sale situation, the owner’s lender has to approve the deal and that can take a while, as mentioned earlier. Notice of the sale is advertised in The News & Observer and posted on the bulletin board inside the Salisbury Street entrance of the Wake County Courthouse 20 days prior to the auction date.
Don’t assume that because the home is foreclosed, or because a bank is listing it, you can undercut the list price by 50{6ea1d85b87534fab6e24031f499cc2ede23940dcd11dcec5d1566c72a09a2c6a} and get away with it. In fact, many bank-appointed real estate agents in charge of selling the foreclosed property will take this as an insult, and it could stall the bidding process.
