May 1st, 2008 8:25 AM by Lehel Szucs
A Sacramento Bee story on foreclosure properties offers the following tips for consumers considering a bank REO:
First-time buyers will need to be pre-approved by one or more lenders.
Don’t be surprised if the bank that owns the home requires that you finance your purchase with them.
Expect competition. Many buyers bid on multiple properties.
Banks won’t accept offers that are contingent on selling your home.
The best deals generally are those homes with the longest time on the market.
Bank-owned homes typically sell for 10 to 20 percent less than their listing price.
Be sure to pay for an inspection and consider the cost of repairs or damaged or missing appliances when bidding on a foreclosure.
The bank is likely to make a counter-offer. Be sure to consider this when submitting your first offer.
Some banks will not accept an offer unless it is submitted by a REALTOR®.
Banks generally are looking to close quickly, within two weeks to 45 days.