Charlottesville Real Estate Talk

Buying A Foreclosure in Charlottesville

We have all heard the news media talking about the growing number of foreclosures across the country.  Charlottesville and Central Virginia do not have as many bank owned properties on the market as many parts of the country, but we do have them.  Lured by the possibility of purchasing a Charlottesville foreclosure for a very good price, there is a lot of interest in these homes.  Both investors and buyers looking for a home to live in are curious about foreclosures.

Lets look at what the foreclosure market is like in the Charlottesville area? I will also talk about what kind of REO properties are available in our real estate market and what is involved in purchasing one?

Contact Pam Dent, e-PRO, SRES, SFR, President Blue Ridge Chapter Women's Council of Realtors, Montague Miller & Company, Charlottesville, Virginia at 434 960-0161 to buy a property in the following areas in Central Virginia: Charlottesville, Albemarle County, Keswick, Glenmore, Ivy, Crozet, Earlysville, Free Union, Cismont, Scottsville, Fluvanna County, Palmyra, Lake Monticello, Louisa County, Louisa, Mineral, Spring Creek, Orange County, Gordonsville, Orange, Barboursville, Greene County, Ruckersville. Email Pam Dent.

Licensed to sell real estate in Virginia.

View all of the Charlottesville Virginia homes for sale.

View my website Charlottesville Horse Farms or visit my other blog Charlottesville Horse Farms and Country Homes for more information on Charlottesville Virginia horse farms, homes, events and real estate.

Copyright 2012 by Pam Dent all rights reserved "Buying A Foreclosure in Charlottesville".

Buying A Charlottesville Foreclosure - Who Is On Your A Team?

With all of the talk in the media about foreclosures, many people have gotten interested in possibly purchasing a bank owned property.  But what is important to consider before making an offer on a Charlottesville foreclosure?

• This is not the same as your traditional real estate transaction.  For this reason it is important to choose a real estate agent who has experience getting foreclosure buyers successfully to closing.  You agent will need the knowledge to guide you through all of the steps of the process.  There is the strategy necessary in constructing the offer, such as what are the banks looking for.  Then you may be in a multiple offer situation and have to submit highest and best.  If yours is the offer that the bank accepts to consider, you will have special bank addenda to fill out.  And that is before all of the steps to get the contract to closing.
• The second member of your team is your lender.  It is crucial to have a lender who is responsive and accessible.  When a foreclosure gets to a good price, offers come in quickly.  This might be on a weekend.  You will need a lender who answers his phone on a Saturday and Sunday and who can get you a preapproval letter quickly.  In addition the banks often require shorter loan approval and closing times than many lenders are used to working with.  Your lender will need to tell you realistically what his bank is able to do and then he will have to work hard to make sure that it happens within the deadlines.  There are often perdiem penalties if closing is delayed through any fault of the purchaser.
• The final member of your team is the attorney.  You will want to have real estate attorney who is also experienced with foreclosure transactions.  There are many things that will need to be carefully researched and it is also helpful when your attorney is used to working with the attorney's on the bank's side.  
• Depending on the property, you may need additional team members such as a home inspector or a builder.  Like everything else in a foreclosure purchase they will need to be able to be available within a short time period. 

If you bring your A Team, you will have a successful experience buying a Charlottesville Foreclosure.

Copyright 2011 by Pam Dent all rights reserved "Buying A Charlottesville Foreclosure - Who Is On Your A Team?"

A 203K loan may be the best financing choice for a foreclosure.

We have seen an increase in foreclosed properties on Charlottesville real estate market.  These homes vary greatly in condition.  There are some that are in move in condition, but many more are not.  Often while the homeowner was trying to stave off foreclosure there was on money for maintenance on the home.  In additon, there are other homeowners who got mad when their home was foreclosed upon and trashed the home before leaving doing such things like cutting out the hot water heater, ripping out surround sound speakers or light fixtures or punching holes in the dry wall.  We also see foreclosed homes where the homeowner started a renovation or construction project and ran out of money before they could finish.

No matter which scenario, the bottom line is the fact that these properties are not eligible for a conventional loan of a VA of FHA loan.  However, a FHA 203K loan may be the perfect solution.  This loan provides money for the purchase price, but also includes additional money to cover the necessary construction costs.

If you are considering the purchase of a foreclosed property, it is helpful to work with an agent who is experienced with with these special transactions.

Charlottesville foreclosures for sale make up a very small part of out local real estate market.

Many real estate markets across the country are driven by foreclosures.  This is not the case in the Charlottesville and Central Virginia real estate market.  Only a very small percentage of the total listings in Charlottesville VA and Albemarle County are foreclosures.

There are currently 1150 Charlottesville home listed for sale.  Of these only 37 are foreclosures.  The foreclosed homes are priced from $89,900-$685,000.  Of course in an area that is not used to having any foreclosuress on the market this number seems huge.

Contact me if you would like a list of Charlottesville and Albemarle County foreclosures.