17 Aug Stages of Foreclosure Properties
Foreclosure is not actually a pleasant business when it comes to buying and selling of properties. Its the worst dream a homeowner will go through. Imagine you might lose your home which can actually affect also your personal finances. Not just losing your home but also it can tarnish the credit history of the owner for years.
But it can be both beneficial to a hopeless homeowner and a willing investor. A benevolent investor can purchase the foreclosed home and make a deal with the homeowner. It gives a home to the homeowner which can have a great effect if the investor won’t help.
Three Types of Foreclosures
a. The Pre-foreclosure. This is the stage where the investor will do good for the homeowner. This part can make things right for the credit rating of the homeowner before its too late. The investor and homeowner can set up a mutual agreement with the bank or any private lender. Usually, the property at this stage will mostly be known from accountants, attorneys, business associates or real estate brokers.
b. The Foreclosure. When the property hits this stage, the best way to identify a potential investment is through asking the country clerk. You may ask them to put your email address in case on new list added and pending defaults. There is also a variation of foreclosure properties and they depend on each state. It may involve judicial or non-judicial type.
c. The Post-Foreclosure. The last stage of the foreclosure where the lender is already the owner of the property. The home is already called as Real Estate Owned property, maybe a private lender or a bank. They already have purchased the property.
The investment of foreclosure property is to know which stage you want to enter. You have the find out what stage is best for you. Having a second opinion from an expert can also be a good option if you are willing to invest in foreclosure properties.