can I buy a foreclosure if i'm pre-qualified or are they only for cash only buyers?

Asked by: of Las Vegas, NV on 2014-02-01T03:38:11Z

Best Answer:

That is a multifaceted question. Yes you can buy a home in foreclosure and be able to finance in some scenarios. If you are bidding on it as in a trustee sale you would need cash. But I am thinking you are looking for a good deal. There are many ways to acquire that great deal. It could be a distressed owner/seller a divorce situation or someone transferring and needing to sell asap. Foreclosures are not always your best deal In fact sometimes they can end up costing more than a standard sale. I would suggest a great realtor with systems in place to filter these properties as they come on the market. As you probably would agree good deals go fast and you need to be Johnny on the spot. Unless you are an experienced investor I would definitely get assistance. Hope that helps and good luck to you

2014-10-28T22:24:49Z

You sure can buy a foreclosure if you are pre-qualified. Mortgage companies like cash offers best because most of the times foreclosed homes are not in great shape and will have a hard time qualifying for special types of loans....ie rural housing va Fannie Mae etc. They will most likely qualify for conventional loans which typically have higher interest rates. Hope this helpsChristle Robinson

2014-02-01T04:33:35Z

Foreclosed properties can be purchased with A Loan unless they are listed for Cash only Sellers would prefer Cash but based on the condition of the property it is not always an option. Contact me for more information. Good Luck

2014-02-09T02:42:16Z

Bruce you can definitely buy a foreclosed home if you are pre-qualified. There are some properties that list cash only because they are not in good enough shape to pass an inspection so they are looking for cash investors to buy the property and fix it up themselves. Just because it is a foreclosure does not mean they will not accept financing. It would be better to be pre-approved when you are looking for a home than pre-qualified. Give me a call and I can put you in the driver's seat to purchasing your new home. Good luck Andy

2014-02-05T05:33:20Z

The condition of the home has a lot to do with the financing available. Of course there are 203K loans which deal with homes in repairable condition which would not meet normal underwriting standards but the 203K loan can be a long process and many agents do not have the repair or rehab background to deal effectively with these types of homes.

2014-03-26T00:37:58Z

Hi Bruce I am from the lending side. You sure could use your loan to to purchase any property. With FHA they are a little more strict but they also allow for rehab loans. I am certified in these loans and have done many. You could get money to repair items in the home.There are many options that you have. Just contact me and I can go over them or if you even just have any questions or need a 2nd opinion.

2014-04-01T20:32:56Z

Bruce you can absolutely buy a foreclosed home with a loan. Sometimes it takes a little longer to buy a bank owned home because banks are slow to respond - but you can get a good amount of property for the money if you're patient. I would absolutely buy a foreclosure over a short sale - the time is often shorter. Angela Brasser ABR CRS

2014-04-01T21:44:37Z

If you need additional assistance click the contact me button just to the right of my name. Good Luck

2014-04-02T16:10:05Z

There are different types of foreclosure properties. some are sold at auctions that require all cash buyers. Other auctions allow your to perform your due diligence and use financing. There are also foreclosures that did not sell at the trustee auctions that are now owned by the bank REO or Real Estate Owned. These properties are often listed on the MLS and will also allow financing. I see this post is from 6 months ago. Were you able to lock up a foreclosure deal If you are still looking please don't hesitate to reach out if I can be of any assistance.

2014-08-05T19:27:13Z

Yes You can buy a Foreclosure with a loan.

2014-08-05T20:56:32Z

Foreclosures are not for cash only You can finance a foreclosure- a good lender will review the options available for lending on the particular property and will help you choose the right lending product.

2014-08-06T01:08:03Z

Bruce You can definitely purchase A foreclosed home with A Loan. Just make sure that you follow all of the protocol. Sellers want to see Loan Approval which is more thorough than A Pre qualification. Your loan specialist will assist you. Good Luck

2014-08-06T15:42:05Z

Bruce the best way to be prepared to purchase a house is to use a professional Real Estate Agent and a Lender that has great recommendations. Foreclosures are not Cash Only. There are several loan products that will work on a foreclosure. The question for you is how much house will you qualify for and that is best answered by a Lender. Get your Pre-Approval letter from a Lender and then go to a Real Estate agent who will help you find homes that meet your criteria. If you need lenders that can be trusted I would be glad to provide you with some contacts. Best wishes.

2014-08-07T18:06:53Z

Some that are put up for auction are cash only but generally speaking you can obtain a loan and finance a foreclosure. I would be glad to help you find a lender and/or Realtor in your area that will work with you.

2014-08-08T16:53:37Z

A HUD home is a 1-to-4 unit residential property acquired by HUD as a result of a foreclosure action on an FHA-insured mortgage. HUD becomes the property owner and offers it for sale to recover the loss on the foreclosure claim.You can definitely purchase and finance a foreclosure. Ask your lender for an experienced loan officer that knows the rules and regulations of a HUD PD.

2014-08-08T20:56:14Z

Yes you can buy a foreclosure - bank owned property. This includes foreclosed HUD and VA properties. Subject to condition of the property. The home must be able to pass the appraisal inspection.Auction properties are cash only.

2014-09-16T21:46:21Z

Hi Bruce Buying a foreclosure can sometimes be very easy and sometimes very complicated. If paying cash for it you can run into less potential deal breakers and if you are getting a loan it's always best to find out what type of stipulations your loan type may have before proceeding. If you need further assistance take a moment and give us a call

2014-09-17T18:00:09Z

My affiliated lender just now started offering Rehab loans for both conventional and FHA loans. This is not the typical 203K mainstream loan. These loan actually lets you rehab the foreclosed home you are purchasing which usually requires major 'rehab. There are restrictions but this type of loan can compete with cash buyers . I can refer you to my lender just call me.

2014-09-20T16:25:15Z

Of course in fact banks are more inclined to sell to an owner occupant than an investor. Gov't restrictions ya know.

2014-09-23T02:45:46Z

If you are in a multiple offer situation the cash offer may be accepted above an owner occupied buyer getting a loan. Generally speaking the banks are more eager these days to accept an offer from owner occupied buyer opposed to an investor. All depends on the scenario.

2014-10-06T19:51:27Z

Many of the foreclosures in this area MD would not pass an inspection therefore only cash or conv loans could get you a foreclosure.

2014-10-07T01:29:10Z

Yes you can buy a foreclosure with a mortgage. I have sold several homes with an FHA mortgage for foreclosed properties. Also a conventional loan is always welcome as wellIf the end use of the property is that it is bought by the owner occupant often times that takes priority over a cash offer.

2014-10-09T18:32:19Z

Absolutely Feel free to contact me and I'll tell you the best way to position yourself

2014-10-09T22:42:35Z

In the Virgin Islands it seems that cash is king as it makes the closing process much shorter. The companies that are processing the REO properties will accept an offer with financing if there is documented current pre-approval not just a letter of pre-qualification submitted with the offer. They also require documentation of cash with a cash offer. If there are similar bids submitted with one being cash and the other with financing. Chances are the cash bid will probably prevail. .

2014-10-09T23:56:47Z

If you are bidding at a Trustee Sale you will need cash. If you buy an already foreclosed home you should be able to finance it but you may lose out to cash buyers in your marketplace. It really depends on how much competition there is in your area. If you opt for a foreclosure be sure that you can afford any surprises you may encounter relating to the homes condition.Lisa Larkin Esq. Arizona

2014-10-10T14:53:13Z

That is a multifaceted question. Yes you can buy a home in foreclosure and be able to finance in some scenarios. If you are bidding on it as in a trustee sale you would need cash. But I am thinking you are looking for a good deal. There are many ways to acquire that great deal. It could be a distressed owner/seller a divorce situation or someone transferring and needing to sell asap. Foreclosures are not always your best deal In fact sometimes they can end up costing more than a standard sale. I would suggest a great realtor with systems in place to filter these properties as they come on the market. As you probably would agree good deals go fast and you need to be Johnny on the spot. Unless you are an experienced investor I would definitely get assistance. Hope that helps and good luck to you

2014-10-28T22:24:49Z

Cash is king especially if it is owner occupied by you. Most competent Sellers will discount the purchase price for cash. The old adage is that you get either price or terms. But then there is the issue of a foreclosure that is taken back by the bank. Now you are not dealing with a competent or rational entity. The bank does not have to follow the rules that are made for the commoner you and me and I always scratch my head at the decisions that are made by banks. Just look at the short sales nonsensical decisions that are made by banks. Give me a call and we can find the solution that works to meet your needs.

2015-03-04T00:25:29Z