REO: Real Estate Owned or Bank Owned
The Bemidji real estate market is beginning to be "REO Driven". What does that mean? It means that a large number of the homes sold in the past few months have been REO property. The banks are able to keep reducing prices on the real estate they own until the property sells and that is bringing down residential home prices in Bemidji. It's is good for buyers but for ordinary sellers.
Remember, just because a property is REO does not mean it is a "good deal". Sometimes a buyer must wait until a property has been on the market for a while for the bank to reduce their price, even after that you may have to bargain back and forth with the bank until you come to a price you are comfortable with.
If you want to find REO (Real Estate Owned) or foreclosure properties in Bemidji the best way is to call me for a list. But if you want to search on your own, I have come up with a few websites for you to try.
http://www.pasreo.com/
http://www.reotrans.com/
http://www.ocwen.com/
http://www.fnams.com/
http://www.realtytrac.com/
http://www.res.net/
http://www.homesteps.com/
http://reosearch.fanniemae.com/
If you want to take a look at any of the properties you find on these sites, just give me a call.
Friday, October 17, 2008
Monday, June 2, 2008
Foreclosure Buying
Purchasing foreclosed homes is the current talk of the town. You may be able to save up to 50% by purchasing one of these properties. There are a few things to think about and investigate before you go ahead with your search.
1. Most foreclosed homes are sold as-is with no disclosures. This means that you will have to inspect the home yourself or hire a professional home inspector to make sure it doesn't have any major defects.
2. Just because it's a foreclosure does not mean it's a good deal.
3. Get pre-approved before you make an offer. Properties owned by a bank usually require a pre-approval letter from a lender at the time of offer or the offer will not be considered.
4. Make sure you have the funds to do all the necessary repairs. Typically your bank will not lend you extra money to do repairs. Some of which may be costly, such as a septic, well, roof or foundation.
5. Check for freeze damage. Especially in Minnesota homes may sit vacant over the winter without the proper winterization. In this case you may have burst pipes and/or water damage.
6. Get a REALTOR to represent you in the transaction. It's always a good idea to have an agent represent you and your best interests during any real estate deal. They will be able to use their knowledge and expertise to guide you through.
Of course there are more steps to purchasing a foreclosed home but these are a few tips from my personal experience to get you started. Contact me today to get started investing in foreclosures in the Bemidji area.
1. Most foreclosed homes are sold as-is with no disclosures. This means that you will have to inspect the home yourself or hire a professional home inspector to make sure it doesn't have any major defects.
2. Just because it's a foreclosure does not mean it's a good deal.
3. Get pre-approved before you make an offer. Properties owned by a bank usually require a pre-approval letter from a lender at the time of offer or the offer will not be considered.
4. Make sure you have the funds to do all the necessary repairs. Typically your bank will not lend you extra money to do repairs. Some of which may be costly, such as a septic, well, roof or foundation.
5. Check for freeze damage. Especially in Minnesota homes may sit vacant over the winter without the proper winterization. In this case you may have burst pipes and/or water damage.
6. Get a REALTOR to represent you in the transaction. It's always a good idea to have an agent represent you and your best interests during any real estate deal. They will be able to use their knowledge and expertise to guide you through.
Of course there are more steps to purchasing a foreclosed home but these are a few tips from my personal experience to get you started. Contact me today to get started investing in foreclosures in the Bemidji area.
Friday, January 18, 2008
Investing
The first question people ask me when I tell them I am a real estate agent is: "How's the market?" I always say "Great!” They usually give me a puzzled look due to the recent talk on every news channel in the country. Now let me explain why I think it's GREAT. With recent foreclosure rates and the oversupply of inventory on the market, appreciation has skidded to a halt and in some cases prices have started to fall. This may seem like a bad thing, but think of it from an investors stand point. The bottom line is: NOW IS A GREAT TIME TO INVEST IN REAL ESTATE!
Mortgage companies are dumping homes they have gotten back due to foreclosure for unheard of prices. Typically these homes are in disrepair and could use a few finishing touches. If you are willing to take the risk of investing in real estate and put a little elbow grease into them you can turn a profit. Many of you have watched the “Flip this or that House” on TV and thought many times “I could do that!” well you can! But as you’ve also seen, if a job is not done right you can also loose. The biggest tip I can give a first time investor is to get educated and do your research.
I am going to be starting an “Investor’s Club” meeting to help people who want to get into investment real estate. The first class will be next Friday the 25th from 12-1pm at the Bemidji Armory in the back classroom. The cost to join is only $5 per time and that includes your lunch! It will be a round table discussion where people can ask questions and bounce ideas off of each other. Email me if you want to attend at mandy@firstrealtybemidji.com
Mortgage companies are dumping homes they have gotten back due to foreclosure for unheard of prices. Typically these homes are in disrepair and could use a few finishing touches. If you are willing to take the risk of investing in real estate and put a little elbow grease into them you can turn a profit. Many of you have watched the “Flip this or that House” on TV and thought many times “I could do that!” well you can! But as you’ve also seen, if a job is not done right you can also loose. The biggest tip I can give a first time investor is to get educated and do your research.
I am going to be starting an “Investor’s Club” meeting to help people who want to get into investment real estate. The first class will be next Friday the 25th from 12-1pm at the Bemidji Armory in the back classroom. The cost to join is only $5 per time and that includes your lunch! It will be a round table discussion where people can ask questions and bounce ideas off of each other. Email me if you want to attend at mandy@firstrealtybemidji.com
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