Top 4 Dangers in Buying Foreclosure Homes for Sale in Pinellas County

Buying foreclosure homes for sale in Pinellas County isn’t always what it’s cracked up to be.   As Pinellas Realtors we strive to make the buying experience a ridiculously happy one, yet buying foreclosures can be gut-wrenching.  Watch out for these ….

Top 4 Dangers in Buying Foreclosure Homes for Sale In Pinellas County

1. We might not close.  There’s a new dangerous and unscrupulous trend now where banks aren’t getting clear title (from outstanding liens and deed-in-lieu sign offs from Sellers) before listing Pinellas County homes for sale.  We’ve experienced and also heard about this first-hand from several insiders at several well-known banks and closing attorneys that represent these banks.  In other words, they are sometimes offering properties for sale that have no business being on the market!
2. We might not close on time.  Same explanation as above.  We recently represented a wonderful buyer who HAD to be in her new home by a certain date – and the closing was delayed over THREE weeks.  Trust me, the pain she went through due to the delay – not to mention the stress of not knowing IF we would even close - was unbelievable.   I can’t stress enough why it’s so important to have Pinellas Realtors that will go the extra mile for you.  In this case, it took contacting the CEO at a massive firm – and everybody else there – about 10 times a day – every day - to finally get it done.
3. You’ll ALWAYS have to pay extra fees that are paid for on ‘regular’ and short sale properties.  These include normally paid for by seller title insurance, state doc stamps (taxes) and other title fees.   This is a significant extra expense that can be easily made light of by your buyer’s agent and certainly the selling institution.  Make sure you get an estimate of these costs prior to signing any contract.
4. Almost ZERO contract protection.  The standard FARBAR and FAR contracts have ample protections for buyers regarding inspections, property defects, disclosures, clear title, etc.   However, bank REO contracts can not be altered in ANY way.  We have to take what they dish out – and trust us, they are all in the bank’s favor.  

Absolutely, there are great buys to be had buying foreclosure homes for sale in Pinellas County, yet let the buyer beware.  If you have questions about the process, these Pinellas Realtors would be glad to chat with you.   Feel free to contact us with questions. 

By the way, the truth is that a ‘regular’ sale home can often be a better buy than a foreclosure or a short sale – it just all depends!!   We see it all the time and feel free to ask us why.  We’re here to help.

Other things you can do...