Pinetop White Mountain Blog

Good Evening Everyone,

Alright, you've made up your mind, it's time to buy a house!  You keep hearing on the news how many homes are on the market and how many Bank Owned (REO's) properties are out there just waiting for you, Right?  Just about every Buyer in the market today things that buying a Foreclosure property is just what they need to do.  But is it really?  Is Buying a Foreclosure the only option or the best option for your individual situation?

When you decide you are ready to buy a home, you need to think about the fact that there is more to buying a home than the price.  You have to look at it as a Long Term Investment.  You need to weigh not only the purchase price but the amount of work and time you are going to have to put in the home for repairs and upgrades after closing.  Keep in mind that REO properties are usually sold "AS IS" and it is unlikely that the Bank that holds that Asset is going to to do any repairs, even those that may be required for the home to meet the minimum standard for Government financing like FHA & VA.

Are you willing to assume all the risks inherent in this type of transaction?  There is only one common element in REO transactions and that is that the transaction is going to weigh heavily in the Bank's favor.  You as the Buyer will be assuming almost all the risk in the transaction and some of those risks can be expensive.

Would you be better off pursing an Owner Occupied property that doesn't require a lot of repairs?  Would paying a little bit more be a better option if the Seller might be willing to do some of those repairs to meet your Loan requirements?  How will your Mortgage Company view the offer?  Will they look at it favorably or will they try and find a way to deny the loan at the end because of the risks they and you are assuming by financing the property?  There is much to consider.

Today's market is very complex and you need a Professional in your court.  Unless you are an Attorney yourself or reside in a State where Attorneys handle the transactions for you, and you are very familiar with legalese, complicated Contracts and Addendums, you need help.  Even experienced Buyers and Investors find today's market intimidating and confusing.  The old rules of the game have flown right out the window right behind the economy and keeping abreast of changes in the marketplace is a Full-time job.  You need a Full-time Real Estate Professional to guide you through the "new" marketplace.  Buying a property whether it is your First Home or your Last is a big decision.  Let me help you make the right one for your individual situation. 

Give me a call and let's talk.  Let me help you find the perfect home, at the best price, and at the best terms and conditions for your individual situation.

Have a wonderful Evening.

SANDRA PAULOW, ASSOCIATE BROKER, GRI

Your High Country REALTOR®  (928) 242-0300