Looking To Purchase Or Invest In Foreclosure Homes – Then Read This
Location, Location, Location
If you are looking for foreclosure property opportunities strictly for investment, then the best route would be for you to review up to five years or more of the neighborhood real estate sales history and prices in that area. Have those homes appreciated sufficiently over time to make your investment risk worthwhile? The foreclosure property doesn’t necessarily have to be in an exclusive neighborhood, but it should be located in an economically stable area. This isn’t an issue of who’s moving in and who’s moving out, but how much that’s being paid for the homes when they are changing hands.
One other factor that you should consider, if you are looking for foreclosure homes in say the Southeast of the United States, is the escalating cost of homeowner’s insurance and coverage for windstorms. You may be able to find some great house bargains in that area known as the ‘Hurricane Lane’. These prices are below market value, but you may also find yourself buying a home you can’t afford to insure. You will also find some areas of the country where flood insurance is no longer available.
Physical Condition Of Home
Analyze the Competition
Make Sure The Houses Are ‘Clean Title’