Where To Find Foreclosed Homes: A Guide For The Novice
If you are new to foreclosure investing and wants to take advantage of the numerous
opportunities that are available on the real estate market, knowing where to start is a primary consideration. Every investor needs to know and learn the secret of where best to find foreclosed homes. Knowing where to look is a cardinal principle that every beginner should be aware of. The following information will acquaint you with the basic knowledge that you need to know about the business.Bank ForeclosuresThere are several types of home foreclosures that you can find in the market depending on the loan taken to acquire them. A bank foreclosure happens when the borrower availed of a conventional loan to purchase the property. The bank lists these properties so that notice of their sale can reach potential buyers. But before they can offer them up for sale, the bank oversees a whole process of foreclosure. Once negotiation with the owner is completed and the necessary paperwork drawn, repossession can then be effected. Only then can the bank offer the property to another buyer.HUD ForeclosuresProperties that are insured by the government are also known as HUDs which are governed by federal regulations. HUD stands for the United States Department of Housing and Urban Development and they have a separate list of government foreclosures which the agency has acquired. The difference of HUD homes from other resale properties has a lot to do with its price and the strict guidelines that must be followed for their purchase. Since the process for acquiring HUD homes can be tedious, it is best if you have a competent real estate agent to assist you in the transaction.VA ForeclosuresAnother place where to find foreclosed homes is the VA foreclosures list. These are homes that are previously owned by United States Veterans and which have been foreclosed by the Department of Veterans Affairs. VA foreclosed homes offer unique opportunities for individuals to purchase homes at substantial discounts since these properties can give you instant equity by offering between 10-50% off its market value. Most VA foreclosures do not require down payments and there are financing schemes available to both veterans and non-veterans applicants.Fannie Mae ForeclosuresFannie Mae acts as a lending organization that is supported by the federal government. If you want to find foreclosed homes, Fannie Mae is a good place to start. Usually, their listings offers big discounts that may range from anywhere between 30-60% off. What is good with Fannie Mae is that since it is a lending institution, they can also provide you with financing terms that are tailored to your specific needs.