Foreclosures Tricks and Treats

HGTV’s real estate Web site Frontdoor.com has identified what it calls the “tricks and treats” of buying a foreclosure:

Tricks to avoid:

• Just because a foreclosure has a low price tag doesn’t mean it’s a bargain. Many need lots of expensive repairs.
• Buying a foreclosure property isn’t for amateurs. Buyers need a knowledgeable real estate practitioner to guide them through the process.

Foreclosure treats:

• Well-maintained foreclosures priced at 50 percent or less of their market value make homeownership very affordable.
• Building a relationship with a lender’s REO (real estate owned) department can help when it’s time to make a deal.

Source: Frontdoor.com (10/29/2009)