Hello All,
There is a property that was just bought back by the bank (BOA) via sheriff sale and the tenants have already been evicted. Is there a way to purchase this property from them before a realtor? If so, how can I go about this?
Thanks for your help in advance!
In most cases, you will not be able to purchase a bank owned foreclosure directly from the bank. They prefer to work with real estate agents who understand the foreclosure process and can handle the paperwork part of the transaction. In order to purchase a bank owned property, it’s best to align yourself with a real estate agent who has access to all of the homes available and can help walk you through the process of doing the paperwork and getting to closing.
monnchew,
Yes, you can buy direct from a bank. Just go to the bank and ask to speak to a bank officer.
If it’s an enormous bank like B of A then I would guess that your chances are less. If it’s a community bank they may be happy to talk to you. My bank came to me when they had foreclosed-on homes sitting in their portfolio. I bought a couple with their financing.
Let us know what the answer was from the bank. You have to be able to do a simple task like walking in the door of the bank if you want to truly be an investor.
“Ask and you shall receive…” A biblical quote? It works in real estate too.
Furnishedowner
I’ve had some luck talking with the local banks, however, my question was aimed towards Bank Of America.
Do you guys have any suggestions in getting a heads up with upcoming BOA foreclosures?
Unfortunately, unless you’re buying in bulk it would be very difficult to buy just one from Big Banks. The first thing they need to do is determine as-is value and they need their Realtor to do that. Even if you happen to contact the person with BoA handling the property, they would funnel you to their Realtor.
I used to work for a company that bought properties in bulk from Big Banks and used to work for GMAC in their loss mitigation dept.
It best to focus on beating others once it gets listed.
BOA almost always contracts out the servicing of their foreclosures to national and regional asset management companies. The broker usually does a BPO along with the appraiser, who most likely appraises most of the foreclosures in the area. BOA has one screwed up management system, but you can still get the occasional good deal on a BOA foreclosure. It would really help if you had a relationship with the broker or appraiser who services a lot of the BOA foreclosures in the area.
I highly doubt you’d be able to buy a BOA foreclosure before it is sent to a broker and has to go through the standardized process that every BOA foreclosure goes through. Like people have said on here, your best bet would be with a small bank. You’d have a better chance getting a good deal on a BOA foreclosure that has been sitting for a long time and has been neglected and mismanaged by whichever joke of an asset management company.
The bank can’t sell you a house without a realtor. They have nobody to sell you the house…they are bankers. They don’t go to title companies and sit at tables (and eat those great cookies) to sign documents, they don’t go to inspections to see what comes up etc. Somebody has to coordinate the sales process. Banks don’t hire people to do that.
I bought 4 houses from a local bank last year. I was approached by a banker to see if I wanted the deal. Once I said yes, he sent me to his realtor to do all the paperwork on the deal.
That’s a different experience I had with my local bank. There was a person at the bank who was in charge of the portfolio of foreclosures. They sub’d out the property management of them, but this guy was overall in charge and handled the sale of the houses to us. We had a bank representative at closing for all of the loan docs and for the sales of those houses. Guess different banks handle these issues a little differently sometimes.
Find out who is in charge of the foreclosures at the bank. It could very possibly be somebody who will work with you for it saves the bank a commission if your price is good to them. Usually the bank has to sit on it a few months before they get a price they like but try it. It is worth it.