Posted by Annalisa Burgos | August 20, 2009
I’m in the Seattle area trying to take a couple days of R&R, but wherever I go, I always get sucked back into work. And it’s not just the daily responsibilities of managing FrontDoor’s content.
As a real estate editor and licensed real estate salesperson, friends and colleagues often ask me what I think about the market and whether a property they like is actually a deal.
Sometimes I feel like Howie Mandel on “Deal or No Deal,” except on my game show, instead of opening random suitcases looking to eliminate low dollar amounts, homebuyers are looking through houses hoping to eliminate potential money pits.
They weigh the pros and cons of holding on to their current property — their “suitcase” if you will — or taking advantage of what they think is the “ultimate deal.”
To them, I’m the quintessential expert, on topics like home value and foreclosures, because I don’t stand to benefit from the purchase the way their official agent will and they know I’ll give them a straightforward, honest opinion.
So when my Seattle friends showed me a bank-owned property they were interested in, we talked about what needed to be fixed and how much they would need to put into the property to get it into move-in condition.
The exercise proved helpful. If I posed Howie’s question “Deal or no deal?,” the answer would be a resounding “no deal.”
Buying a home? Try these resources from FrontDoor.com:
Posted by Annalisa Burgos | July 1, 2009
With the flood of first-time buyers and bargain hunters in today’s real estate market, your friends at FrontDoor.com want to remind ALL homebuyers out there to do your due diligence.
Don’t get so caught up with finding a steal that you forget the basics!
In this month’s Top 10, we break down the 10 most costly mistakes buyers commonly make and offer some valuable tips.
Check it out:
Top 10 Home Buying Mistakes That Can Cost You
www.frontdoor.com/top10
Buying a home is a big deal, but it should also be a fun experience. By making smart decisions, your buyer’s thrill won’t become buyer’s remorse.
Happy house hunting!
Posted by Annalisa Burgos | June 24, 2009
Real estate auction company REDC (Real Estate Disposition Corp.) works with lenders to sell thousands of foreclosure properties at auctions throughout the country. And in this market, lenders need all the help they can get to unload this excess inventory, quickly and efficiently. Note: REDC auctions are for bank-owned homes or REOs, and are not the same as the public auction, which takes place at the local courthouse.
On June 7, more than 1,200 bargain hunters attended an REDC auction in New York City, where 113 bank-owned houses in the tri-state area were sold for a total of $10 million in sales.
Watch the video to see what it’s like to buy a bank-owned home at an auction.
AUCTION TIPS:
1) Research. Before you buy at a foreclosure auction, do your research. Print out the auction brochure (if there is one), note the open house dates for the properties you’re interested in and see them in person. You more than likely will have to buy “as-is” and you won’t be able to get a home inspection done. When you visit the homes, look out for these 10 red flags for homebuyers.
2) Crunch the numbers. Estimate how much you expect to spend on home improvements on top of the purchase price, which includes a premium the auction company charges each buyer. If you’re an investor, subtract those expenses from the income you expect to generate from the home (rent) and decide if it’s a smart investment.
3) Register and be prepared. Each auction has different requirements, but all of them require you to register and bring a cashier’s check or cash for the required earnest money deposit. Many transactions are cash-only, but some auctions will allow you to finance the purchase through a lender, so get pre-approved beforehand so you know what your maximum bid will be.
For more tips on how to buy a foreclosure, go to www.frontdoor.com/foreclosures.
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