Northern Virginia Foreclosures
Finding Northern Virginia foreclosures may seem like a difficult task, whether you are looking to purchase an investment property to rent or to buy a home for yourself. While these properties exist in cities like Sterling, Ashburn, Arlington and Burke, you may not always recognize a good deal or know when to stay away from a property. Working with an experienced real estate agent with a background in foreclosures is essential to success.
What is a Northern Virginia Foreclosure?
A foreclosure is a home where the owner was no longer able to make the mortgage payments and the lender has gone through the process to remove the owner. In essence, the bank now owns the home and is trying to sell it.
You’ll find these properties in Alexandria, Woodbridge, Great Falls, Centreville and throughout Northern Virginia. Many of them are in poor condition while others are move-in ready. All of them are ready to sell because the bank has completed the foreclosure process.
The Foreclosure Process
Before a home is listed as one of the Northern Virginia foreclosures, a specific process must happen.
Step 1 – the owner must miss 3 to 6 months of payments
Step 2 – the lender records a public notice of default
Step 3 – pre-foreclosure where the owner can work out arrangements with the lender to pay the amount owed or have a short sale
Step 4 – at the end of the pre-foreclosure period, the lender sets a date for an auction if the amount owed has not been paid
Step 5 – if someone else doesn’t buy the property at the auction, it becomes the property of the lender
Step 6 – the property is then sold on the market as a foreclosed listing
Buying Northern Virginia Foreclosures
Purchasing a foreclosure may be a great deal for you, but you must be prepared for the complicated process involved. These homes often scare first-time buyers and even more seasoned purchasers away because of the timeline and complexity of the situation. However, an experienced realtor will guide you through the process and help you find the home you want even if it is a Northern Virginia foreclosure.
When You Can Buy a Foreclosed Property
You can purchase a pre-foreclosure by approaching the owner and offering to buy it before the home goes into foreclosure. The sale will have to be approved by the lender as well as the owner. Another option is to make the purchase at the foreclosure auction. Many times, you are required to pay in cash at a foreclosure auction.
The third option is to buy a bank-owned property, also known as an REO or real estate owned property. The lender usually performs any necessary repairs and ensures a clear title, two things you may not get at an auction. However, the process can be a lengthy one and often requires the assistance of a real estate attorney and an agent experienced in foreclosed properties.
Should You Buy a Northern Virginia Foreclosure?
A foreclosure can be a fantastic deal for someone looking to get into the rental business or to find a great price on a home. However, it’s not the answer for everybody. If you want to make a purchase and move in right away, you should look at other Northern Virginia homes for sale rather than foreclosed properties.
However, if you have the patience needed for purchasing a foreclosure, you may find the ideal property. You will need to meet the same requirements as with buying any other home, including a good credit history, stable income, and down payment funds to secure financing.
To begin the process, you should talk to a knowledgeable real estate agent like Mike Putnam who can guide you in the right direction. Look at the various properties available in cities like Fairfax and Springfield to determine if any are right for you.
Find a lender with a background in foreclosed properties to make the process easier. You’ll also need to have a real estate attorney who can help you with any complications you meet along the way. Be prepared for a lengthy process and to provide a great deal of documentation. Take the time to find out as much about the property as you can to ensure it’s a good buy. You’ll want to do a home inspection even if you know the seller won’t be able or willing to make any repairs. You want to know that your purchase is a sound investment for now and in the future.
Work with a Top Northern Virginia Realtor
Before you look at Northern Virginia foreclosures, find a top realtor like Michael Putnam. Mike has been working in the real estate industry for many years and has completed numerous real estate transactions, including the purchase of foreclosures. He knows the Northern Virginia real estate industry and can lead you in the right direction for a property.
Mike is dedicated to his clients and will work hard to help them get the results they want. At the same time, you can trust him to be honest about properties and to even direct you away from a home that isn’t right for you. He puts his skills and experience to work for every client. Whether you’re purchasing a traditional home or a Northern Virginia foreclosure, Mike Putnam will work hard to ensure you get your home. Make him part of your team as you begin the home-buying process.