To the majority of people, foreclosure evokes images of houses in bad neighborhoods that look run down and have probably been abandoned. But to smart real estate investors, foreclosures represent excellent investment opportunities. When the bank forecloses on a home, it just means that the previous owner was unable to make their mortgage payments, or it could mean that they chose to intentionally default if they had a higher balance left on their mortgage than the house was actually worth due to a real estate bubble. Savvy investors look to purchase these homes, understanding the opportunities they represent. Many people have heard of real estate auctions, where foreclosed homes are sold to the highest bidder. However, many homes go unsold at auctions and subsequently become owned by the bank (these are also known as real-estate owned, or REO, homes). These REO homes can offer an excellent return on a buyer’s investment.
Buying an REO Home
People might choose to invest in REO homes for a number of different reasons. The actual seller of the home is the bank instead of a resident, and the bank will likely have several other REO homes in addition to the one that you are interested in purchasing, meaning that they will be more likely to negotiate with you on the price – meaning that you most likely can get a good deal on the house– because they are trying to clear out their inventory, whereas most homeowners are mainly concerned with getting a fair price for their home so that they can purchase a new one.
When a bank takes over ownership of a property, they waive any previous liens that might have existed for that address. In other words, an REO property will have no outstanding taxes or unpaid bills that you will be forced to foot the bill for once you become the owner, which may not be the case on the normal housing market. Buying a home that the bank owns eliminates the possibility of any messy ownership issues that need settling before you can put the title in your name.
Many realtors believe that purchasing a bank-owned home is among the smartest investments in real estate. In addition to the aforementioned reasons, prospective buyers can request a home inspection prior to closing on the property, which is not the case for people looking to buy homes at a real estate auction. This extra peace of mind can make all the difference for many home buyers or real estate investors.
The South Jersey Real Estate Difference
The biggest obstacle to buying a property owned by the bank can be learning about the property in the first place. That is why banks often solicit the help of realtors when they want to move one of these properties. In Cherry Hill, the name to trust is Roxanne Ardary at South Jersey Real Estate. I know the area inside and out, and I make sure to stay abreast of when new homes become available and what new trends might be important for buyers. I know the appeal that South Jersey homes have for buyers, whether the prospective buyer is just looking to upgrade over their current home or is moving to the area for the first. This lets me help anyone find the right house for them.
My knowledge extends beyond the regular housing market to the market for foreclosed homes and bank-owned properties. I keep an eye out for properties that go into foreclosure so that I can aid real estate investors and home buyers alike in buying these properties. After all, in a market as competitive as the real estate marketplace, learning about a property first can make all the difference. When you factor in that bank-owned properties have many incentives for buyers including low interest rates, below market prices, and a relatively simple closing process for home buyers, it only makes sense to trust an expert realtor if you have an interest in one of these properties. I have a wealth of experience in the foreclosure and REO markets in Cherry Hill, and when combined with my aforementioned knowledge of quality real estate in Cherry Hill, I can provide the highest levels of service and expertise to every buyer that walks into my office.
I bring much more to the table than market knowledge, however. I work hard to provide a personalized touch to every client that I work with, which is one of the biggest reasons why people trust the South Jersey Real Estate brand. I like my customers to know that they received the best possible service and that I worked hard to ensure that their needs were met. I always have the time to answer any questions about the area, which homes are for sale, or any anything else. My top priority is to make sure that my customers get to buy their dream property and that they are completely comfortable with the purchase. After all, nobody wants to go through a process as significant as buying a home and still have nagging doubts about its quality after closing the deal. I work to alleviate any and all concerns before the deal is finalized, and my customers can feel confident not only that they made a smart purchase, but also that their new home will be a source of pride and joy for them for years to come.