Is That Foreclosure A Good Deal?

Hey there. As yo may already know, real estate investors rarely buy any property off of the MLS or use realtors. Buying a Foreclosure or Pre-Foreclosure is one of the targets we aim for.

So one of the sources of these “Real Estate Investing Deals” is found in either the pre-foreclosure or foreclosure property lists. Now, I have access to software that pulls that data in real time through my education.

That software shows all properties going through the foreclosure process in a particular county or zip code that I type in. Buying A Foreclosure - NorthStar Investment Properties

For Those who prefer to figure it all out alone, naturally the information can also be found in a very manual process by scouring through county records.

Before buying a foreclosure property though, there are a few questions you should ask. Below are 20 questions to consider when looking at a foreclosed or pre-foreclosed property.

  1. Is it a Mortgage or a Deed Contract?
  2. Are There Outstanding IRS or Other Liens On The Property?
  3. How Much Money is Needed at Time of Bid?
  4. When Is The Balance of The Funds Due?
  5. How Must The Funds Be Paid? Cash, Cashiers Check, or Personal Check?
  6. What Is The Right Of Redemption Period?
  7. Are There Any County Tax Or Contractor Liens?
  8. What Are The Rights Of The People On The Property?
  9. What Are The Buyer’s Eviction Rights?
  10. Who Is Responsible For Security Deposit Returns?
  11. Can You Assign Your Bid Or Obligation?
  12. What Is The Minimum Bid?
  13. What Is The Maximum Bid?
  14. Is The Property Free And Clear (Get A TSG Or Title Update)
  15. What Type Of Deed Or Title Do You Receive? Can You Get Title Insurance?
  16. Will You Be Informed Of Any Latent Defect Of The Property?
  17. How Was The Appraisal Determined And By Whom?
  18. Who Carries The Fire And Hazard Insurance On The Property?
  19. What Can You Sell The Property For? (Know Your Equity Or Profit Margin)
  20. What Will It Cost To Get The Property Rehabbed In Market Condition?

 

Want to learn more about Buying A Foreclosure Property and all other aspects of investing in real estate? Attend our 4 Pillars Of Building Wealth Live Event this week.

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