Does Today’s Real Estate Market Make You Want to Buy a Home?

Sun, Mar 25, 2012

General Legal Issues

Does Today's Real Estate Market Want You to Buy a House?The misfortune of so many homeowners going through foreclosure has created a windfall of properties to choose from for those looking to buy homes in Florida. Many experts are suggesting those in the position to buy should do so now, with good prices and good interest rates.

There are many different sites to choose from if you are looking to purchase foreclosed property. Short sales and auctions offer very competitive prices and bargains. You will also find many homeowners who have priced their property very reasonably, since they know they must be competitive in today’s market. These types of listings, in addition to some bank owned property, can be found on most realtors’ websites.  If you are looking to find auctions on foreclosed property in Manatee County, take a look at https://www.manatee.realforeclose.com/index.cfm for official information. Sarasota County’s website is: https://www.sarasotaclerk.com/default.asp?page=83.

However, navigating the world of real estate these days is more difficult, since they seem to be speaking a different language in listings now. Here is SmithLaw’s primer to the new lingo.

 

  • Short sale: Short sales occur when property is sold for a price that is less than the amount of the liens owed against it. It requires permission of the lender and often comes with many restrictions. The short sale process is often longer than traditional sales, something buyers should keep in mind.
  • Auction: Homes and property are auctioned off by counties or other government entities. Property is sold for the highest price to the highest bidder. An auction takes place after an owner has had the opportunity to try and sell the home/property through a short sale or other means (or borrow more money to settle previous loan amounts). Auctions often take place on the courthouse steps–see the above links for information about local property auctions. If a property or home does not sell for the requested amounts, it usually becomes bank owned or REO property and is sold via real estate agents.
  • Real Estate Owned Property: Also known as bank owned property or REO. This type of property is owned by a lender, such as a bank, after an auction was held for the property and the property still was not sold. It is typically sold at a price only negotiable by a small percentage, set by the lender.

 

Image credit: Noa_Schek

 

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