Buying Philadelphia Real Estate Foreclosures and REOs
Buying Philadelphia Real Estate Foreclosures and REOs
Every day of the week Philadelphia buyers and investors contact me to ask about Philadelphia foreclosures and REOs and how they too can profit from buying these distressed properties. Elizabeth Weintraub wrote a great article about foreclosures and here are some of the important parts of that article:
Why Do Seller’s of Philadelphia Real Estate Go Into Foreclosure?
- “Laid-off, fired or quit job
- Inability to continue working due to medical conditions
- Excessive debt and mounting bill obligations
- Squabbles with co-owner, divorce
- Job transfer to another state
- Negotiating Directly with Sellers in Foreclosure”
How To Buy Philadelphia Foreclosures
“Investors who specialize in buying Philadelphia foreclosures often prefer to purchase these homes before the foreclosure proceedings are final. Before approaching a seller in distress, consider:
- Foreclosure proceedings vary from state to state. In states where mortgages are used, home owners can end up staying in the property for almost a year; whereas, in states where trust deeds are used, a seller has less than four months before the trustee’s sale.
- Almost every state provides for some period of redemption. This means the seller has an irrevocable right during a certain length of time to cure the default, including paying all foreclosure costs, back interest and missed principal payments, to regain control of the property. For more information, consult a real estate lawyer.
- Many states also require that buyers give to sellers certain disclosures regarding equity purchases. Failure to provide those notices and to prepare offers on the required paperwork can result in fines, lawsuits or even revocation of sale.”
