Foreclosures are Bank-Owned
A foreclosure can be a great value because the bank owns it and is paying for all of the upkeep and property taxes. As opposed to a property offered as a short sale, the selling bank has a major motivation to get the property off of their books. At the same time, banks who are involved in selling a foreclosure want to maximize the amount they get out of the property. In the lower price ranges it has turned into a sellers market meaning that many foreclosures sell for well above the listing price! Knowing what to offer for the foreclosure is critical in terms of being successful with your purchase.
One thing you should know is that bank-owned properties will almost always limit how much they will pay towards the buyer's closing costs. If you buy a traditional sale (owned by a regular home seller) we can quite often negotiate for the seller to pay all of your costs. With either a lender mediated sale however you will usually need to cover many of these closing costs on your own. If you qualify for a Minnesota down payment assistance programs this can be used to offset some of the remaining closing costs on bank owned properties.
Are you thinking about buying a home soon? If you have not already done so, you should get preapproved for a mortgage early in the process. Once you have done this we can focus our searches on homes that you can reasonably afford. I work with all types of home buyers throughout the Twin Cities area and would I would like the opportunity to talk with you. Please contact me and we can get started soon.
Sales Executive, Licensed Realtor in Minnesota
Woodbury, MN 55125
With a focus on Woodbury real estate and surrounding communities.