What perks await people who buy bank homes? Why are they the safer and more advantageous option for affordable homes? There are many reasons why bank homes are attractive to buyers. Apart from the affordability of the homes and the ease of dealing with banks, bank owned homes also come with a host of perks and incentives that can result to an overall positive buying experience.
Banks encourage people to buy bank homes because they are under pressure to unload their ballooning inventory to the market. Being the leading provider of home mortgage loans, banks also have highest number of foreclosure homes that they are aiming to sell to the market. After a foreclosure, the homes are put up for sale in auctions. When the homes do not sell at these auctions they go back to the lender to become real estate owned properties.
Bank owned homes are free of any debt or other forms of obligation as the bank will have extinguished them all. Bank homes will have no former occupants trying to hold on the property by refusing to leave as the bank would typically handle the eviction prior to listing the home in the market.
How to Find Bank Homes
Buyers can buy bank homes from various channels. The homes would be listed on newspapers, real estate agents would likewise have a list of these homes and they can also be found in online listings services. Banks would normally appoint an asset management company to represent them in the sale of the homes and buyers can touch base with these representatives for their offer. They will likewise be the negotiator that buyers would have to deal with when bargaining for either a lower price or better payment terms.
Bank homes are sold with title insurance and pest certification which can save buyers the trouble of conducting a title search. There are some bank homes that have undergone minor repairs paid for by the banks. Sometimes the banks themselves offer the financing facility for the buyer.