Foreclosed properties sold at auction are often sold "as is" meaning they could come with creditor or tax liens attached. You may even be responsible for evicting the former homeowner.
Best practice is to research the homes offered at auction prior to the auction day.
You may want to contact the attorney handling the foreclosure to find out if there are any "strings attached" before purchasing the property. The attorney is listed in the Foreclosure Notice.
Friday, May 29, 2009
Friday, May 22, 2009
Thursday, May 14, 2009
Past Foreclosure? You Can Recover Your Credit!
These days having a foreclosure on your record seems to be closer to the norm than it ever has before. What once was an unfortunate event that happened relatively infrequently, now has probably happened to you or someone you know. The good news is that its not the end of the world anymore. There are programs that will help you get a second chance at finding housing and restoring your credit at the same time. The Fresh Start Homes Program in Fort Myers, FL is one such program. They help individuals who have had a foreclosure in their past by placing them in a rent to own situation. Up to 75% of the rent that they pay is put down towards a down payment and the rest is financed to help the prospective homeowner rebuild their credit. It gives the renters a second chance at homeownership, and helps the community overall, by placing responsible tenants in otherwise vacant properties. On the investment side, Fresh Start Homes offers investors the opportunity to have a passive monthly income by screening and placing tenants in the homes, offering property management services, and ultimately providing the investor with a guaranteed homebuyer at the end of 18 months. Sounds like one of those few opportunities where everyone wins...
The Tide Seems to Be Turning in South West Florida
Southwest Florida has been one of the hardest hit by the foreclosure crisis in recent years, and many are saying that the worst part of the crisis is behind us. If the numbers below are any indication, smart investors are starting to buy up the foreclosure inventory:
Cape Coral: On March 1, 2008, the average homes available per buyer was 12.32. On March 1, 2009, the average homes available per buyer dropped to 3.55
Fort Myers: On March 1, 2008, the average homes available per buyer was 19.99. On March 1, 2009, the average number of homes available per buyer dropped to 5.44
Lehigh Acres: On March 1, 2008, the average number of homes available to buyers was 16.89. On March 1, 2009, the average number of available homes to buyers dropped to 5.08.
As the inventory decreases, demand will grow and so will prices. This makes now the perfect time to invest in Southwest Florida Real estate. Another way to track market changes is to monitor the “days on market” numbers that are available on the Multiple Listing Service (MLS). When the “days on market” number for a bank owned property starts to decline, this is a great indication that the market is turning around. This is a published number and will be available through the real estate agent that you are using.
The number of offers that a bank gets for a property is another indication of a market that is heating up. If the bank receives multiple offers, especially offers that exceed the asking price, this is a sure sign that investors are more confident in the market and are willing to invest. This information is not as readily available as the “days on market” number, but once you establish a relationship with your realtor, they will most likely share that information with you.
Bottom line: study the market, take note of the trends, and you will be well on your way to success as a real estate investor. Why Southwest Florida? There will always be a demand for homes in beautiful climates. Southwest Florida has beaches, palm trees, sunshine, a low cost of living, no state income tax- people save up their whole lives to be able to live here. This is a golden opportunity to buy new or almost new homes at a fraction of their original cost. The current economic climate will make millions for investors. The value of the dollar keeps falling daily as the government prints more money to bail out businesses and individuals who need relief. At the same time, housing prices are where they were in 2002 nationwide. However, in Lee County Florida, prices have dropped to where they were in 1988! To buy a home now in Southwest Florida would be a shelter from the impending inflation. With the continuous rising prices of goods and services, housing prices have to rise.
How to take the Next Step
Before you buy an investment property it helps to consult someone who is familiar with the area. Do your research and speak with a professional who will guide you through the steps you need to take. You will need to find someone who knows about the legal and tax attributes associated with purchasing a property in the state that you are dealing in. In Southwest Florida, The Chang Group, Inc has been involved in the investment market for the past 10 years. In recent years, they have managed over 1,300 bank owned properties and know the neighborhoods in the area. They will be able to guide your choices and keep you informed of the neighborhood demographics. View available properties in Southwest Florida.
Getting Started
As a real estate investor you will need to ensure that you will receive funding for your investment property. Make sure your credit score is as good as it can be. Make sure your debt to credit ratio is about 30%. And ask yourself if you really can afford to lose liquidity in the money that you put into the property.
Cape Coral: On March 1, 2008, the average homes available per buyer was 12.32. On March 1, 2009, the average homes available per buyer dropped to 3.55
Fort Myers: On March 1, 2008, the average homes available per buyer was 19.99. On March 1, 2009, the average number of homes available per buyer dropped to 5.44
Lehigh Acres: On March 1, 2008, the average number of homes available to buyers was 16.89. On March 1, 2009, the average number of available homes to buyers dropped to 5.08.
As the inventory decreases, demand will grow and so will prices. This makes now the perfect time to invest in Southwest Florida Real estate.
The number of offers that a bank gets for a property is another indication of a market that is heating up. If the bank receives multiple offers, especially offers that exceed the asking price, this is a sure sign that investors are more confident in the market and are willing to invest. This information is not as readily available as the “days on market” number, but once you establish a relationship with your realtor, they will most likely share that information with you.
Bottom line: study the market, take note of the trends, and you will be well on your way to success as a real estate investor. Why Southwest Florida? There will always be a demand for homes in beautiful climates. Southwest Florida has beaches, palm trees, sunshine, a low cost of living, no state income tax- people save up their whole lives to be able to live here. This is a golden opportunity to buy new or almost new homes at a fraction of their original cost. The current economic climate will make millions for investors. The value of the dollar keeps falling daily as the government prints more money to bail out businesses and individuals who need relief. At the same time, housing prices are where they were in 2002 nationwide. However, in Lee County Florida, prices have dropped to where they were in 1988! To buy a home now in Southwest Florida would be a shelter from the impending inflation. With the continuous rising prices of goods and services, housing prices have to rise.
How to take the Next Step
Before you buy an investment property it helps to consult someone who is familiar with the area. Do your research and speak with a professional who will guide you through the steps you need to take. You will need to find someone who knows about the legal and tax attributes associated with purchasing a property in the state that you are dealing in. In Southwest Florida, The Chang Group, Inc has been involved in the investment market for the past 10 years. In recent years, they have managed over 1,300 bank owned properties and know the neighborhoods in the area. They will be able to guide your choices and keep you informed of the neighborhood demographics. View available properties in Southwest Florida.
Getting Started
As a real estate investor you will need to ensure that you will receive funding for your investment property. Make sure your credit score is as good as it can be. Make sure your debt to credit ratio is about 30%. And ask yourself if you really can afford to lose liquidity in the money that you put into the property.
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