Sunday, March 24, 2013

Empty Foreclosed Homes: What should I know?

Vandalism and Neglect of Foreclosed Homes

Damage is not uncommon in foreclosure properties and it may be caused by vandals or the former owners. Some corporate-owned properties are cleaned up from a vanity stand point but many are not... and I am not sure what's worse; seeing what you are getting into or having it covered up by fresh paint and carpet.  Here are some common issues regarding these empty homes.

•Removal of Valuable Items
To get revenge against the bank and to make an extra buck, the previous homeowners might remove items that had value, including appliances, fixtures, the kitchen sink, bedroom doors, closet doors, copper pipes and more. Anything the homeowners do not take might be taken by thieves. Either way, many bank-owned properties are missing things that generally come with seller-owned properties.

•Owner Vandalism
Broken windows can be common in REOs for several reasons. As mentioned previously, vandalism could be a cause. Also, when banks lock out owners while taking possession of the property, the former owners may break a window to get back in and retrieve their belongings. Previous owners may also purposely inflict damage at the bank's expense by putting holes in walls and/or tearing off the baseboards and crown molding.

•Random Vandalism
Sometimes when a property sits vacant, especially if it is in a moderate-to-high crime area, new owners will have to contend with graffiti, broken windows and other damage.

Be sure to check out my upcoming posts about other headaches you may encounter with purchasing a foreclosed home and contact a real estate professional experienced in purchasing foreclosures for help.
Search this blog for Foreclosure Headaches.

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