buying houses and the foreclosure situation

[temeculaguy]

JC, 2001 priced homes are not that common and they tend to sell quickly, if you’ve found one and would be happy with it, can afford it and it costs you the same as rent, you will lose a little sleep thinking about it because it does make sense for a number of reasons, we will each find our time, just be sure you aren’t talking yourself into something and being honest about the 2001 prices, rents and your ability to afford it because we are in the early or middle innings, there will be no price appreciation for years and you need to be prepared to stay put and have fixed rate payments that you can truly afford.

patiently, thanks for cutting and pasting me, that post was so late in that thread I didn’t think anyone read it and felix never responded, it felt like I screamed in that room and everyone stopped talking afterwards. It wasn’t really a single case scenario, I can throw those up all day long and i firmly believe that in six months I will still be able to, in fact it should be easier and more dramatic.

[JC]

First, thank you all so much for the great input.

Second, I was hoping to get some feedback on a potentially stupid question.

When attempting to purchase a REO, do you think the lender would look more favorably on a downpayment of 25%? Would that difference be too small to matter and/or is their primary focus solely on the purchase price?

Sorry for the very basic question, but I’m new to all of this…

[JC]

First, thank you all so much for the great input.

Second, I was hoping to get some feedback on a potentially stupid question.

When attempting to purchase a REO, do you think the lender would look more favorably on a downpayment of 25%? Would that difference be too small to matter and/or is their primary focus solely on the purchase price?

Sorry for the very basic question, but I’m new to all of this…

[JC]

First, thank you all so much for the great input.

Second, I was hoping to get some feedback on a potentially stupid question.

When attempting to purchase a REO, do you think the lender would look more favorably on a downpayment of 25%? Would that difference be too small to matter and/or is their primary focus solely on the purchase price?

Sorry for the very basic question, but I’m new to all of this…

[JC]

First, thank you all so much for the great input.

Second, I was hoping to get some feedback on a potentially stupid question.

When attempting to purchase a REO, do you think the lender would look more favorably on a downpayment of 25%? Would that difference be too small to matter and/or is their primary focus solely on the purchase price?

Sorry for the very basic question, but I’m new to all of this…

[JC]

First, thank you all so much for the great input.

Second, I was hoping to get some feedback on a potentially stupid question.

When attempting to purchase a REO, do you think the lender would look more favorably on a downpayment of 25%? Would that difference be too small to matter and/or is their primary focus solely on the purchase price?

Sorry for the very basic question, but I’m new to all of this…

[recordsclerk]

In my little experience trying to buy a REO, I’ve found that there are a lot of restrictions on buying REOs. You would have to do a pre-inspection prior to making an offer, so if you are planing on making a low-ball offer you would probably be wasting money on the inspection. On some of the properties there won’t be any electricity for you to check the appliances and lighting. This would include the gas stoves/ovens. Most of the properties have running water so you can at least run the faucets, flush toilets, check draining. You also have to pre-qual with their preferred lender and even in some cases get a loan commitment letter from a lender. This is something that bothers me because you will need to have your credit pulled each time you make an offer. Properties that are well priced usually have multiple offers. So it’s not that easy just to go out and make a bunch of low ball offers on a bunch of properties. The way I see it you have to wait and find a property you really like and are willing to pay full asking price or more if there are multiple offers. Then you would do a pre-inspection and pre-qual in order to submit an offer.
As far as loans go, most lenders would prefer 20% down regardless of what type of home you buy (REO, Short, Regular)as long as the appraisal falls in line with the asking price. I have made several offers and have yet to buy a home. My offers have either been too low and rejected or when I’ve made full price offers, I’ve been on the losing end of a bidding war. Another stragety that I use is look at homes that are little more then what I’m willing to pay and wait for price reductions until I’m satisfied with the asking price and immediately make an offer at/near asking price.
I believe that prices are still coming down, but there are some deals out there in distressed neighborhoods. If you are planing to buy in a more desired area or areas that have held up pretty good, I would wait at least till the end of this year if not longer. I’ve been shopping in Chula Vista for the last 5 months and 90% of the REO homes that I looked at have gone pending and a lot of them have failed to close escrow and ended up being re-listed. I’m in the market for 3000+sqft under 800K.

[recordsclerk]

In my little experience trying to buy a REO, I’ve found that there are a lot of restrictions on buying REOs. You would have to do a pre-inspection prior to making an offer, so if you are planing on making a low-ball offer you would probably be wasting money on the inspection. On some of the properties there won’t be any electricity for you to check the appliances and lighting. This would include the gas stoves/ovens. Most of the properties have running water so you can at least run the faucets, flush toilets, check draining. You also have to pre-qual with their preferred lender and even in some cases get a loan commitment letter from a lender. This is something that bothers me because you will need to have your credit pulled each time you make an offer. Properties that are well priced usually have multiple offers. So it’s not that easy just to go out and make a bunch of low ball offers on a bunch of properties. The way I see it you have to wait and find a property you really like and are willing to pay full asking price or more if there are multiple offers. Then you would do a pre-inspection and pre-qual in order to submit an offer.
As far as loans go, most lenders would prefer 20% down regardless of what type of home you buy (REO, Short, Regular)as long as the appraisal falls in line with the asking price. I have made several offers and have yet to buy a home. My offers have either been too low and rejected or when I’ve made full price offers, I’ve been on the losing end of a bidding war. Another stragety that I use is look at homes that are little more then what I’m willing to pay and wait for price reductions until I’m satisfied with the asking price and immediately make an offer at/near asking price.
I believe that prices are still coming down, but there are some deals out there in distressed neighborhoods. If you are planing to buy in a more desired area or areas that have held up pretty good, I would wait at least till the end of this year if not longer. I’ve been shopping in Chula Vista for the last 5 months and 90% of the REO homes that I looked at have gone pending and a lot of them have failed to close escrow and ended up being re-listed. I’m in the market for 3000+sqft under 800K.

[recordsclerk]

In my little experience trying to buy a REO, I’ve found that there are a lot of restrictions on buying REOs. You would have to do a pre-inspection prior to making an offer, so if you are planing on making a low-ball offer you would probably be wasting money on the inspection. On some of the properties there won’t be any electricity for you to check the appliances and lighting. This would include the gas stoves/ovens. Most of the properties have running water so you can at least run the faucets, flush toilets, check draining. You also have to pre-qual with their preferred lender and even in some cases get a loan commitment letter from a lender. This is something that bothers me because you will need to have your credit pulled each time you make an offer. Properties that are well priced usually have multiple offers. So it’s not that easy just to go out and make a bunch of low ball offers on a bunch of properties. The way I see it you have to wait and find a property you really like and are willing to pay full asking price or more if there are multiple offers. Then you would do a pre-inspection and pre-qual in order to submit an offer.
As far as loans go, most lenders would prefer 20% down regardless of what type of home you buy (REO, Short, Regular)as long as the appraisal falls in line with the asking price. I have made several offers and have yet to buy a home. My offers have either been too low and rejected or when I’ve made full price offers, I’ve been on the losing end of a bidding war. Another stragety that I use is look at homes that are little more then what I’m willing to pay and wait for price reductions until I’m satisfied with the asking price and immediately make an offer at/near asking price.
I believe that prices are still coming down, but there are some deals out there in distressed neighborhoods. If you are planing to buy in a more desired area or areas that have held up pretty good, I would wait at least till the end of this year if not longer. I’ve been shopping in Chula Vista for the last 5 months and 90% of the REO homes that I looked at have gone pending and a lot of them have failed to close escrow and ended up being re-listed. I’m in the market for 3000+sqft under 800K.

[recordsclerk]

In my little experience trying to buy a REO, I’ve found that there are a lot of restrictions on buying REOs. You would have to do a pre-inspection prior to making an offer, so if you are planing on making a low-ball offer you would probably be wasting money on the inspection. On some of the properties there won’t be any electricity for you to check the appliances and lighting. This would include the gas stoves/ovens. Most of the properties have running water so you can at least run the faucets, flush toilets, check draining. You also have to pre-qual with their preferred lender and even in some cases get a loan commitment letter from a lender. This is something that bothers me because you will need to have your credit pulled each time you make an offer. Properties that are well priced usually have multiple offers. So it’s not that easy just to go out and make a bunch of low ball offers on a bunch of properties. The way I see it you have to wait and find a property you really like and are willing to pay full asking price or more if there are multiple offers. Then you would do a pre-inspection and pre-qual in order to submit an offer.
As far as loans go, most lenders would prefer 20% down regardless of what type of home you buy (REO, Short, Regular)as long as the appraisal falls in line with the asking price. I have made several offers and have yet to buy a home. My offers have either been too low and rejected or when I’ve made full price offers, I’ve been on the losing end of a bidding war. Another stragety that I use is look at homes that are little more then what I’m willing to pay and wait for price reductions until I’m satisfied with the asking price and immediately make an offer at/near asking price.
I believe that prices are still coming down, but there are some deals out there in distressed neighborhoods. If you are planing to buy in a more desired area or areas that have held up pretty good, I would wait at least till the end of this year if not longer. I’ve been shopping in Chula Vista for the last 5 months and 90% of the REO homes that I looked at have gone pending and a lot of them have failed to close escrow and ended up being re-listed. I’m in the market for 3000+sqft under 800K.

[recordsclerk]

In my little experience trying to buy a REO, I’ve found that there are a lot of restrictions on buying REOs. You would have to do a pre-inspection prior to making an offer, so if you are planing on making a low-ball offer you would probably be wasting money on the inspection. On some of the properties there won’t be any electricity for you to check the appliances and lighting. This would include the gas stoves/ovens. Most of the properties have running water so you can at least run the faucets, flush toilets, check draining. You also have to pre-qual with their preferred lender and even in some cases get a loan commitment letter from a lender. This is something that bothers me because you will need to have your credit pulled each time you make an offer. Properties that are well priced usually have multiple offers. So it’s not that easy just to go out and make a bunch of low ball offers on a bunch of properties. The way I see it you have to wait and find a property you really like and are willing to pay full asking price or more if there are multiple offers. Then you would do a pre-inspection and pre-qual in order to submit an offer.
As far as loans go, most lenders would prefer 20% down regardless of what type of home you buy (REO, Short, Regular)as long as the appraisal falls in line with the asking price. I have made several offers and have yet to buy a home. My offers have either been too low and rejected or when I’ve made full price offers, I’ve been on the losing end of a bidding war. Another stragety that I use is look at homes that are little more then what I’m willing to pay and wait for price reductions until I’m satisfied with the asking price and immediately make an offer at/near asking price.
I believe that prices are still coming down, but there are some deals out there in distressed neighborhoods. If you are planing to buy in a more desired area or areas that have held up pretty good, I would wait at least till the end of this year if not longer. I’ve been shopping in Chula Vista for the last 5 months and 90% of the REO homes that I looked at have gone pending and a lot of them have failed to close escrow and ended up being re-listed. I’m in the market for 3000+sqft under 800K.

[JC]

recordsclerk,

Thanks for the response. So, I think you are saying that the downpayment needs to be at 20%, but that increasing it to 25% or more does not really improve your chances of getting an offer accepted, correct?

[JC]

recordsclerk,

Thanks for the response. So, I think you are saying that the downpayment needs to be at 20%, but that increasing it to 25% or more does not really improve your chances of getting an offer accepted, correct?

[JC]

recordsclerk,

Thanks for the response. So, I think you are saying that the downpayment needs to be at 20%, but that increasing it to 25% or more does not really improve your chances of getting an offer accepted, correct?

[JC]

recordsclerk,

Thanks for the response. So, I think you are saying that the downpayment needs to be at 20%, but that increasing it to 25% or more does not really improve your chances of getting an offer accepted, correct?

[Author]

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