Tips for Buying a Foreclosure

helpful tips

If you’re in the market for a foreclosure, there are definitely deals to be found in the Denver metro area. While this type of transaction differs from traditional home purchases, the process doesn’t have to be as challenging as you may think. Here’s we’ll cover some tips that will help you navigate your way through purchasing a foreclosure.

  1. Get an agent and a lender
    The first two steps in buying a foreclosure should happen almost simultaneously. First, you’ll want to find a real estate agent who’s highly experienced in these types of transactions. Second, get a preapproval letter from a lender. You may be inclined to find a house first and worry about financing later, but foreclosures can be snatched up very quickly – if you want to get the best deal, get preapproved first.
  2. Price depends on sales pace
    There’s no rule of thumb on what the bank’s bottom line is on price. Just as with any other real-estate purchase, you have to look at the recent sales prices of comparable properties and expect to pay around the same.
  3. Don’t expect a repair discount
    Keep in mind that foreclosed houses generally are sold as-is. That means that you shouldn’t expect to get a discount to compensate for repairs. Remember to get a complete inspection before buying so you have an accurate idea of what repairs need to be made and what you can afford.

Ready to start checking out foreclosure properties in the Denver area? Metrowest specializes in these types of sales – contact us today to get the process started!

Ken Blevins

About Ken Blevins

Ken Blevins, CEO of Metrowest Real Estate Services, is a veteran in mortgage and default servicing with more than 24 years of experience in collections, foreclosure/bankruptcy, loss mitigation and real estate disposition (REO). Blevins was an original co-founder of Metrowest in 2003, a Real Estate Brokerage and Services Company focused on the resale, recovery and liquidation of distressed real estate in Denver, Colorado and surrounding metros. Blevins assumed the role of CEO in January 2014 and provides strategic direction and has management accountability for the day-to-day operations. Under his direction, Blevins drives all default management operations to maximize asset value recovery and reduce loss severity through a strategy focused on customer service and state of the art technology. Blevins has 18 years of direct operational experience in all facets of REO Asset Management having managed large national REO Disposition contracts for Fannie Mae, Freddie Mac, Wells Fargo, JP Morgan Chase, CitiFinancial, GMAC Mortgage and other various financial institutions. Blevins specialties include REO asset management, real estate investment, bulk REO acquisitions and distressed asset recovery and liquidation, and he has directed the resolution and liquidation of over ten billion in institutionally-owned residential real estate.
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