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HUD and VA Homes Priced to Sell
FORECLOSED HOMES ARE USUALLY PRICED TO SELL.
Most foreclosed homes are priced at fair market value. However, VA and HUD homes are often priced below area comparables. Furthermore, you may, through the bid process, be able to purchase a home below market value if you shop carefully and use an experienced agent to help. We can help. We can also help you by giving you the comparable pricing information for the community to help you make a good pricing decision when you prepare your bid. You will need to get pre-qualified before making a bid and we will help. We work with lenders who are familiar with the procedures and will prepare the pre-qualification document before you begin your home search. There is no fee for this service. It is of utmost importance to become pre-qualified or better yet pre-approved; as most lenders will not even entertain offers without proof of lender qualification.
YOU CAN BUY A FORECLOSURE HOME.
FORECLOSED HOMES CAN BE A BARGAIN!
HUD homes are sold "as is" and HUD does not make repairs or offer warranties. However, the HUD homes are usually the best priced and offer the best value. If you are willing to invest some 'elbow grease' in your home, you can get a good buy and make repairs and redecorate to make the foreclosed property a real home. Many will need cleaning up or cosmetic upgrading, but generally your home will be worth a lot more than you paid for it when you have put your decorating touches to work. VA will make some repairs and VA foreclosures are generally in better condition than HUD homes. Institutional lenders evaluate the homes on their individual merits and will determine if the home will be sold "as is" or repaired. Institutional lenders tend to be less rigid and may be negotiable on repairs.
WE'LL PREPARE ALL OF THE PAPERWORK.
We will prepare the bid and all of the contract paperwork for you if you select to bid on a foreclosure. Often the details of closing help and terms and conditions are as important to a seller as the price. We'll consider all of these needs when we prepare your offer.
YOU CAN BUY A FORECLOSURE HOME.
Anyone with the cash or ability to obtain a mortgage loan can buy a foreclosed home. You will have to qualify for the mortgage as with any home purchase, but we'll help you with the financing, too. Often, the cash needed to buy a foreclosure is less than you would need to buy a home offered for sale by a non-foreclosure homeowner.
Most financial institutions require a 30-day closing period and if the buyer is not able to close on the date specified in the contract, the seller will normally have a clause in the contract that if the buyer requests a closing date extension, then the buyer will be required to pay a per diem penalty as a condition of an extension. If the per diem penalty is $50.00 a day then that amount is multiplied by the number of days past the original closing date and the buyer will have to pay that amount at the time of closing. Example: $50.00 a day per diem multiplied by a 10-day extension would be a $500.00 penalty paid by buyer at closing.
Furthermore, the Seller, Listing Agent, or Title Company is not responsible for the ordering of a survey, termite report or home inspections and is the responsibility of the buyer.
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