Everyone is looking for a good deal these days. And in real estate buying a power of sale property at dirt cheap price is considered a good deal. Lots of people are using this technique to build their wealth. But not everyone is so lucky to spot these kinds of deals. Since there is almost everyone looking for this kind of power of sale properties, so whenever any foreclosure property comes on market for sale people jump on it and it’s gone before you that it is in market. So what is the best way to buy a power of sale house in Brampton or Mississauga?
First of all you have to have a Full time realtor working for you. Reason behind this is that whenever any property comes in market for sale Realtor is the first person to find out the details of it. Toronto Mls is exclusive website for registered realtors which is password protected website only for realtors which gives edge to realtor to get all the info about any property (Sold or available).
If you are looking on your own on many public websites or even on MLS.ca, Good luck. Because for a property to show up on www.mls.ca or any other public websites it takes 24 to 48 hours. And as everyone knows that a great deal won’t wait that long. I have sold and have seen properties being sold with in less than 4 hours after they show up on market. And right timing is a major factor when you are looking for a great deal (Not just real estate).
And it’s always helpful to get an idea about recent market stats, so that you can compare if it is actually a good deal/below market price or you are just buying something at current market value just because it’s being sold by Bank. A realtor can help you in finding out the actual market value from his expertise & from his info database.
I have seen lots of people looking for power of sale properties calling different realtors everyday to find good deals, which never helps. Because it is very easy to figure out if someone wants to make commitment or just going to every single realtor available not knowing that someone would never take you seriously if you don’t show seriousness or commitment(This rule applies in every business, Serious people always get best attention). A realtor would go an extra mile for a committed client to find him the best deal available in real estate market.
Again coming back to “How to buy power of sale property”. Most of the time power of sale or foreclosure houses are not in great shape. And sometimes they need lots of work so you need to have some knowledge about repair costs or should have a renovation expert with or if your realtor has expertise in power of sale houses ,he can also help you figuring out the cost. This way before putting an offer you can have an idea about upcoming costs and you can adjust the offer price according to that.
Since all of the power of sale houses are being sold in “AS IS” condition by bank, so it’s very important to have a home inspection done by a professional home inspector before you firm the deal. Because if there is a major defect in the property you find out after the purchase is complete, it is going to cost you lots of money and a good deal can turn out to be a worst deal of your life.
As I mentioned earlier this kind of power of sale properties don’t last long and if you don’t have your financing in place ahead of putting an offer, could cost you as well. Is case of multiple offers situation Banks always prefer offers from those people who have already obtained financing. It is always best to find out your affordability by getting a pre approval from a bank or a qualified mortgage broker before you go ahead and buy a property.
You should have a good lawyer who could have a good look at the agreement of purchase and sale because when buying a property from bank sometimes it gets tricky when banks try manipulating the standard agreement of purchase and sale by making lot of changes in their own favor.
Buying a power of sale or foreclosure is very tough task for someone who has not much experience in this field but working with an expert makes it piece of cake.
Power of sale houses don’t stay long on market and most of the time sold before they show up on market, so best idea would be Sign up for weekly Power of sale subscription list. And you can do that by clicking the Sign up link or
calling me at 905-598-0725 or by leaving a comment below this post. Happy House Hunting....