Want To Buy An Apple Valley Foreclosure?
Are you thinking about buying one of the foreclosed homes in Apple Valley? Whether you own a house currently or are a Minnesota first-time home buyer, you should learn the basics before going out to buy. While there are many great values in Apple Valley foreclosures, you should be prepared for how to negotiate your offer.
Community Information: Apple Valley, MN
The city of Apple Valley, MN was named in 2010 as as one of the top 20 best places to live in America.in the top twenty of best places to live in America. With over 49,000 occupants, the city has more than doubled in size over the last 30 years. Located in northern Dakota County, Apple Valley first time home buyers can benefit from the Dakota County first time buyer program With a well-developed Parks and Rec department you'll always have something to do in Apple Valley. If you're planning on buying or selling foreclosured home in Apple Valley, please feel free to give me a call!
A bank-owned home can be a great deal sometimes because the bank is paying for all of the upkeep and property taxes, as opposed to a short sale, in which the selling bank has a major motivation to get the property off of their books. At the same time, banks who are selling their foreclosured properties want to get the highest value they can out of the property. In the lower price ranges it has turned into a sellers market, meaning that many foreclosures sell for well above the listing price! Knowing what to offer for the foreclosure is critical in terms of being successful with your purchase.
Foreclosure Purchases: Things to Consider
There are 2 major factors to consider when making your offer. The first is how long the property has been on the market and the second thing is the overall condition of the home. A recently listed foreclosure is apt to sell for near the listing price (or even higher), while a bank that has a house that has been on the market a long time might be willing to negotiate for deeper discounts. Also, a home that is in poor condition may not be able to be financed, so the bank may have to reduce the price far enough to attract cash buyers.
If you are going to be financing the purchase of a foreclosed home, there are some important things to know. First, the property must be in acceptable condition in order to qualify for most loan programs. Properties in generally poor condition will either require a cash offer or special financing such as FHA 203k. Selling banks will also tend to limit the amount seller paid closing costs towards your home loan. In most cases today, the selling bank will limit their contribution to 3 per cent of the selling price, or 2 per cent if you are an investor. Finally, a selling bank will never look at your offer if it includes a financing contingency or does not include a preapproval letter along with the offer.
Find Out What You Are Qualfied For
The first step in the process of buying a home is to get preapproved for your home loan. This means that you meet with a local mortgage lender who will review your financial situation. In doing so they can tell you what types of Minnesota first-time buyer programs you might be qualified for. This important first step can be done right over the phone and most lenders will even do this with you outside of normal business hours.
If you are looking for foreclosed properties in Apple Valley, please give me a call or send me an email. There are many great foreclosure values out there, but knowing which one will be the best takes some time and expertise.