Purchasing ‘Fixer-Uppers’ or ‘Foreclosed’ Homes

Many ‘fixer-uppers’ or ‘foreclosed’ homes have been poorly maintained and may be in need of some major repairs. Many are located in lower market-value areas, meaning it might be harder to sell after the property is fixed up and brought up to date.  It is the advise of experienced investors to find properties in the better areas of any community so the house can be sold fast or rented out after repairs are made.  Many advise to always look at the most run downed house, located in the best area of town to invest in. If you intend to keep the house as a rental, you want to buy it in an area where people want to live, ensuring a more reliable source of rents.

If you intend to ‘flip’ or sell the house, it will sell faster and for a higher price if it is located in a better area of town. Be aware of the needed funds to make everything happen over and above monies needed for the purchase, utilities, repair costs, permit fees, any sub-contractor costs, materials, insurance, appraiser fees, home inspection fees and other misc. costs.

Some fixer-uppers & foreclosed homes make a good investments, however you must go slow and use caution when you are looking at or buying any property that falls into the fixer-upper or foreclosure categories.   Seek the help of a Realtor or real estate agent who is familiar with home values, the current market conditions and sales prices of any area.   Check the current building codes for the area as you may have to invest more money than planned to get the house in a livable condition. Make sure there are no ‘hidden’ liens, or mortgages on the property, and any hidden health risks that might make the property un-inhabitable.  You should always avoid any houses that need any structural type updates or repairs. Experienced investors will advise you to get all detailed facts and information on any property before committing to buying it.

Fannie Mae Foreclosure Help

Fannie to Offer Closing Cost Aid on Foreclosures

Fannie Mae, the largest provider of residential home funding in the United States, says it will now help pay the closing costs on purchases of foreclosed homes in its inventory.
They will assist buyers of qualified properties with up to 3.5 % in closing costs, or an equivalent amount for the purchase of new appliances.

Call us today to help you find your best home bargain in Vancouver and Portland. I specialize in short sales and foreclosed properties.