X marks the spot, and jumping on the main highway of online listings will not deliver the short sales and foreclosures Detroit real estate investors seek. Unlike foreclosures, short sales are voluntary and generally are in move-in condition, usually still occupied. Short sales are, in essence, the last-ditch effort of sellers to avoid entering into foreclosure and prevent them from having a long-lasting red mark on their credit history. Experienced investors are aware that the off-market deals are the hidden gems of this sort of treasure hunt!
There is typically fierce competition between buyers attracted by the potential for high profits on foreclosures and short sales. Experienced investors understand that this is a numbers game, meaning the more offers you place, the better your odds of winning. Additionally, they know that patience is most definitely a virtue, as deals can quite literally take months to proceed. Read on to learn how you can buy a short sale or foreclosure in Detroit!
We Buy Houses in Detroit
You can look on the MLS to buy a short sale or foreclosure in Detroit, but We Buy Houses in Detroit is the Detroit short sale and foreclosure expert. At We Buy Houses in Detroit, we have already built the expressway to bring these bargains to you, saving you valuable time, effort and money. Through our years of networking among real estate professionals and other real estate investors in Detroit like you, We Buy Houses in Detroit has the inside scoop on the available inventory of off-market short sale and foreclosure properties.
You must understand just what to expect when you buy a short sale or foreclosure in Detroit. No one likes surprises when it comes to real estate deals. Realistic expectations can help you devise your investment strategy to handle all possible scenarios of what can go right or wrong and in advance.
Sellers who voluntarily seek a short sale as the resolution to their financial woes will seek as many bids as possible before approaching their lender with a request for cooperation in the process. Bidding on a short sale property means your offer is just one of a significant number of submissions. The deal is by no means guaranteed. There are many documents and a great deal of time invested in gaining approval on a short sale. It is imperative to work with an expert like those at We Buy Houses in Detroit to ensure everything is for the best possible outcome. Unlike traditional real estate, short sale transactions in Detroit can only occur with 3rd party approval. All three parties must negotiate Short sales transactions in advance. The deal is between you as the buyer, the seller, and the lender. The situations vary greatly, and some may close within weeks and others in months or longer. As each step of the process progresses, there are several deadlines, and you can rely on your We Buy Houses in Detroit agent to meet them.
When homeowners fail to meet their financial obligation on their mortgage loans, foreclosure is the lender’s final legal step in cutting their losses by selling the home at auction. These foreclosed properties are highly likely to be in less than pristine condition, so it warrants your investing in the services of a professional inspector and researching the price the property will likely bring at auction. You must put your bid in at the correct number to win, as there will be a flurry of other offers coming in along with yours. As an investor, you will likely own the property for whatever amount remains due on loan, which commonly means instant equity in the property. It is essential to understand the rules of the auction and contact the auctioneer or trustee in advance to inquire as to how much cash you should have on hand to prove your intent with a bid. Often, a percentage of the winning bid must also be available. You must keep in mind that lenders that auction foreclosed properties are offering them in as-is condition. Before you fall in love with a property and fall into an emotional bidding war, you should make careful calculations and have a final top bid you stick to that your budget can carry. Your data should including any necessary repairs, which are routinely required to rehabilitate distressed properties. Wise investors also have funds set aside for unforeseen issues that are time-consuming, which means holding costs.
You should always work with an expert from We Buy Houses in Detroit to buy a short sale or foreclosure in Detroit. Use the experience and knowledge of the professionals at We Buy Houses in Detroit to help you stand out in the crowd. We Buy Houses in Detroit knows what lenders want to see when they are reviewing all of the documents.
Why not get started now while you learn the ropes of building equity in your real estate portfolio using short sales and foreclosures in Detroit. Just call We Buy Houses in Detroit at (313) 246-4551 today or send us a message to learn more.