I feel terrible for typing that, but it's so true. For the last couple of weeks I've been looking at foreclosed homes and I'm shocked by the deal that can be had on some of these homes. I only wish that I was in a better position and actually was looking to purchase a home because there are so many steals (I will not omit the fact that the reason that these houses are on the market is because they were in fact "stolen" from misinformed buyers- my humble opinion you don't have to agree ).
For those of you who live under a rock and don't know what foreclosure is, I've pasted the definition from Wikipedia below:
Foreclosure is the legal process by which a mortgagee, or other lien holder, usually a lender, obtains a termination of a mortgagor's equitable right of redemption, either by court order or by operation of law (after following a specific statutory procedure).[clarification needed] Usually a lender obtains a security interest from a borrower who mortgages or pledges an asset like a house to secure the loan. If the borrower defaults and the lender tries to repossess the property, courts of equity can grant the borrower the equitable right of redemption if the borrower repays the debt. While this equitable right exists, it is a cloud on title and the lender cannot be sure that it can successfully repossess the property.[1] Therefore, through the process of foreclosure, the lender seeks to foreclose the equitable right of redemption and take both legal and equitable title to the property in fee simple.[2] Other lien holders can also foreclose the owner's right of redemption for other debts, such as for overdue taxes, unpaid contractors' bills or overdue homeowners' association dues or assessments.
Gotta love Wikipedia :) Anyway, this means that you, the buyer, ends up getting a lot of house for a little money. Of course, there are always downsides to buying a foreclosed home. Sometimes the houses require a lot of work or the previous owners may have destroyed the inside of the home when they found out it was going through foreclosure. But if you don't mind getting a fixer-upper, definitely check out the deals.
The easiest way to find foreclosures in your area is to Google it (another site I can't live without). Good luck!!
S/N: I really do feel terrible (this is putting it lightly) that there are so many foreclosures to chose from, but that's a completely different post for another day!
For those of you who live under a rock and don't know what foreclosure is, I've pasted the definition from Wikipedia below:
Foreclosure is the legal process by which a mortgagee, or other lien holder, usually a lender, obtains a termination of a mortgagor's equitable right of redemption, either by court order or by operation of law (after following a specific statutory procedure).[clarification needed] Usually a lender obtains a security interest from a borrower who mortgages or pledges an asset like a house to secure the loan. If the borrower defaults and the lender tries to repossess the property, courts of equity can grant the borrower the equitable right of redemption if the borrower repays the debt. While this equitable right exists, it is a cloud on title and the lender cannot be sure that it can successfully repossess the property.[1] Therefore, through the process of foreclosure, the lender seeks to foreclose the equitable right of redemption and take both legal and equitable title to the property in fee simple.[2] Other lien holders can also foreclose the owner's right of redemption for other debts, such as for overdue taxes, unpaid contractors' bills or overdue homeowners' association dues or assessments.
Gotta love Wikipedia :) Anyway, this means that you, the buyer, ends up getting a lot of house for a little money. Of course, there are always downsides to buying a foreclosed home. Sometimes the houses require a lot of work or the previous owners may have destroyed the inside of the home when they found out it was going through foreclosure. But if you don't mind getting a fixer-upper, definitely check out the deals.
The easiest way to find foreclosures in your area is to Google it (another site I can't live without). Good luck!!
S/N: I really do feel terrible (this is putting it lightly) that there are so many foreclosures to chose from, but that's a completely different post for another day!
Lady T
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