Foreclosures in Cape Coral, Florida
Once a house is "foreclosed" and owned by the lender, then they will normally assign the property to an asset manager, who will then list the property with a local Realtor. It will appear on the Realtor MLS system for all to bid on. Some properties in bad condition may restrict buyers to ALL CASH. Some properties will restrict offers only from buyers that will owner-occupancy the property for the first week to two weeks of bidding. There after, they will consider buyer that are investors looking to fix up the home and flip them for a profit, or renting them.
Before a property is "foreclosed", it will be offered at auction to the highest cash bidder at the county courthouse (probably online auction). Most properties have a first mortgage higher than the property is worth so unless the lender allows it to sell below the judgment amount it will go back to the lender and then get listed for sale by a Realtor.
Bank Owed Properties
Buying a Bank Owned property can be quite different than purchasing from a standard Seller. In addition every Bank or Institution offers different terms, conditions, they follow different marketing strategies and even those can be different for any given property.
Bank owned properties are typically sold as-is, where is, with all faults, no warranties of any kind as to the condition or functionality of the property are made by the Seller. Most banks require in addition to the standard as-is sale contract, special addenda drafted by the Institution. These additional terms are usually not subject to counter.
How to Bid
If you are putting an offer on a foreclosed home, make sure to put your "highest and best" right away. It is very likely, that the bank will get multiple offers and they won't get back to each and every potential buyer to negotiate back and forth. If you cannot pay ALL CASH you will be at a severe disadvantage for most REO properties. So that being said if you are going to require a mortgage, you will need to secure one up front. They will want to see that you are pre approved to buy the property with the address of the property you are buying on the approval. Banks whether you are paying cash or financing will require proof of funds to purchase the property with the offer.
Remember timing and knowledge is critical in purchasing foreclosures and distressed properties. Call Marie Benoit to get her 20 plus years of knowledge and experience in all your real estate needs.
3501 Del Prado Blvd.
Cape Coral, Fl. 33904 Suite 110