While looking to buy your dream home, many people will advise you that the purchase of a foreclosed home is a good idea. When you buy a foreclosed home, you can get an excellent property at a reasonable price.
The only downside is that you cannot build a good relationship with the previous owner, as you are trying to buy their home, which he does not wish to sell but forced to, by the courts.
It is not a regular purchase
Apart from this small issue with the previous owner, you will benefit by buying a foreclosed home. However, it is important to know that buying such a home will not be as simple and straightforward as buying a regular home.
You have to take special care while purchasing a home or any property that is facing foreclosure. While looking up property listings or auction proceedings under St Louis houses for sale, the fact that it is a foreclosed home will be evident, so that you do not miss it.
Property specialist FasterHouse there are some firms who help people prevent a foreclosure sale of their homes by buying or selling them before it reaches the courthouse steps.
House tour is difficult
While buying a foreclosed home, all you will get is a thorough description and information about the home. This will include the detailed floor plans, the address, the square footage, and the amenities available in the home.
However, unlike a regular home purchase, you will not take a leisure tour of the house. Thus, the first time you will see the inside of the house would be after you buy and take possession.
‘As is’ condition
Foreclosed homes sell in ‘as is’ condition – this means that you purchase these homes as they are. The homes might be run down, with walls require painting, carpets requiring replacement, non-functional plumbing, and kitchen with ill-functioning fixtures.
But generally, the price of the home is so less that the potential buyers are not concerned about the condition of the home.
In some states, the original owner has the right to reclaim the home at the same price but within a certain period. If this happens, the new owner cannot do much about it. This rarely happens but it is better to be ready about this possibility.