The Pitfalls of Buying a Foreclosure Property
When it comes to real estate, everyone wants a good deal, right? The foreclosure properties always draw the attention of buyers. Who wouldn’t want to buy a property WAY UNDER MARKET VALUE. Just go in and fix it up, and you’ve made money! In my experience I have seen and shown a lot of foreclosure properties. Some the lenders had fixed quite nicely, and others made me want to come home and take a shower. WHAT’S IMPORTANT TO KNOW is what’s under the surface of the condition. In many cases, the foreclosing home owner did work to the property without permits, or STARTED WITH THE PERMIT PROCESS AND NEVER FINISHED. This happened to one of my buyers. The city of San Diego filed citations against the property for unfinished permit work a year later. My buyer (the new owner) spent over $20,000 to remedy the situation, and then took the former owner to arbitration to retrieve his expenses. So I wanted to share this article with you. Read it before you truly get involved in the desire for a foreclosuree home.
