      
 Home Auctions are Perfect For InvestorsPublished: Thursday, March 12, 2009 Buying a foreclosed home at a real estate auction is the perfect avenue for investors to increase their portfolios. The fast paced activity at auction, coupled with the matter-of-fact efficiency of the on-site lenders can sometimes leave home buyers that are searching for their dream house disillusioned, particularly if they are unsuccessful at bidding on specific properties they had their hearts set on. Investors on the other hand have certain criteria for buying a home at auction, but generally lack the emotional investment associated with buying a home for personal use. Investors approach the home auction process as a business. Properties coming up for auction are inspected by the investor or someone working for them. The buyer knows exactly what condition the property is in before the auction and pencils out the cost of any necessary improvements. Investors know which neighborhoods can command the highest rents or which areas are the most successful at resale or "flipping" the house later. This information helps the investor identify their break even bid price, and allows the investor to only bid on properties that make sense economically. Buyers Shopping for Themselves BewareThe home auction experience can be frantic and fast paced. Many home buyers looking for their next new home can get caught up in the emotion of the moment and find themselves bidding on homes that aren't exactly what they are looking for or will bid higher than they intended to. This is not to say that home buyers shopping for themselves at real estate auctions cannot be successful. On the contrary - home auctions are a great way for home buyers to find affordable bank homes and lender owned foreclosures at rock bottom prices. However buyers that are most successful at home auction approach the transaction like a business. Here are some tips for buying at auction like the pros:
Approach buying at auction like a business. If it doesn't make good financial sense to buy the house, it won't matter how much you love the floor plan or whether you can picture yourself relaxing on the front porch. Don't buy it! Other Recent ArticlesHome Buyer Tax Credit Extended Until April, 2010Category: Recent Articles Published: Thursday, December 10, 2009 The federal tax credit has been extended to April, 2010, including an expanded benefit to existing home owners who sell their homes and then repurchase a new primary residence valued at $800,000 or less. This could be the perfect opportunity for buyers who wanted to cash in on home auction bargains but were fearful of lower resales on their existing homes. 57,000 Foreclosures Remain in California – Lenders Scheduling More Home AuctionsCategory: Recent Articles Published: Thursday, December 03, 2009 The Southern California foreclosures market may be shifting, with fewer homes entering foreclosure than in previous quarters. However there are still 57,000 existing foreclosures statewide that need to be sold, and lenders are looking at foreclosed home auctions as a major tool to sell large numbers of foreclosures in a short amount of time. Southern California Foreclosures Still the Bulk of Home SalesCategory: Recent Articles Published: Friday, November 27, 2009 Southern California foreclosures still account for the bulk of area homes sales and lenders are finding real estate auctions the fastest and most efficient method of clearing their books of REO properties. Buying a home at auction requires a little prep work, however and the experts at homeauctionexpo.com share their insight on how to find the best auction properties. |
