Do Distressed Properties Make For Smart Investments?
Foreclosed real estate can be one of the smartest investment decisions you’ll ever make. However, it’s not quite as easy as the late-night infomercials suggest. Before plunking down your hard earned cash you should educate yourself about the pros and cons of investing in distressed properties. The following tips can help you understand the facts and be prepared for what lies ahead. When real estate is foreclosed it must first be placed for sale through a foreclosure auction. In order to buy auction property, individuals are required to place a minimum bid equal to the balance due on the mortgage note, along with any accrued interest, tax or creditor liens, attorney fees and other costs associated with the foreclosure process. In many instances, more money is owed on the home than it is worth. It is rare to find foreclosed real estate that does not have liens attached. Occasionally, the foreclosed homeowner still resides in the home. The liens must be removed and the homeowner evicted b
