msWoods Real Estate, LLC City |County |Township|School|Subdivision|Zip Code My Dashboard / Sign Out

   Map • Open Houses • Street • Agents • Career • Blog • Contact • MLS# • Home Valuation Tool

370 msWoods Distressed Homes for Sale

Looking for a bargain? Include foreclosures, HUD-owned, VA owned and bank-owned properties in your search. But be aware of potential pitfalls when purchasing this any of these types of property.

Here are a few things you’ll need to know before investing in any distressed property.

[Read More]

Foreclosures

While it is possible to find good foreclosure opportunities, contrary to popular belief, most foreclosure sales begin with a list price that is more than what the property is worth. After all, the bank’s goal is to satisfy all liens against the property, recoup attorney fees and other costs associated with the foreclosure process, and make a profit. So the price is usually anything but a bargain.

Occasionally, there is enough equity left in the home to make purchasing a foreclosure a good investment, assuming everything else goes right.

Advantages
  • Possibility of finding a home with equity (rare)
Considerations & Concerns:
  • When you buy a foreclosure home you are getting the home in as-is condition. This means there could still be someone living there who has yet to move out or be evicted. And a lot can happen to a home in the meantime.
  • In addition to the primary mortgage (first lien), other outstanding liens can exist, from tax liens to second and third liens, mechanic’s liens, homeowner’s association (HOA) dues and more. You are inheriting these obligations.
  • Many banks will provide a pest inspection report if you ask for one. Your offer should be contingent on a home inspection.
  • If you are the winning bidder, then you will be required to pay the full bid by cashier’s check.

Bank-Owned Properties (a.k.a., REO)

When a property fails to sell at the foreclosure auction, it reverts back to the bank and becomes part of its real estate inventory. At this point, the primary mortgage is written-off as a loss, and the bank will negotiate with any remaining lien-holders and pay these off, in addition to any other HOA dues, mechanic’s liens, etc.

The first thing to realize about buying a bank-owned property is that the bank is never in a hurry to sell. Unlike an individual seller, there is no personal financial need to sell the home in a hurry. There is neither frustration nor desperation. Quite the contrary, the bank will act in a calculated fashion to maximize profit.

Advantages
  • Possibility exists to find a home below market value.
Considerations & Concerns:
  • Offers and counter-offers are almost never handled in-person, but instead via FAX, email or some other electronic means.
  • Don’t be surprised if the bank’s counter-offer is not what you hoped. The bank’s counter offer must show to shareholders and auditors that the bank made a good-faith attempt to get the maximum, fair-market price. Only when this is not possible will the bank entertain a lower price.
  • Be prepared to make several counter-offers before an acceptable price can be reached.
  • Ask to see any and all reports, such as homeowner’s inspection reports, pest inspection reports, etc.
  • You will want to have the home inspected and appraised, but this will be come at your own expense.
  • Can ask that the bank make needed repairs, although they generally have no interest in doing so.

HUD-Owned Properties (a.k.a., REO)

The main difference between a HUD-owned property and a bank-owned property is that you are dealing with the federal government and not a private bank. When someone defaults on an FHA-insured mortgage, the lender forecloses on the home and then files a mortgage insurance claim with HUD. HUD then pays the lender what is owed and takes ownership of the property. HUD’s goal is to recover the amount of the mortgage insurance claim, and hopefully get a fair market price for the home.

Advantages
  • Opportunity exists to purchase homes below market value
  • If the home meets FHA guidelines, qualified buyers may be able to purchase the home with an FHA-insured loan. Even if the home doesn’t meet FHA guidelines buyers may be still able to purchase it under FHA’s 203(k) Rehabilitation Loan program, which provides funds for the improvements in a single loan closing. The loan-to-value is based on the estimated future value of the home, with the repairs complete.
Considerations & Concerns:
  • HUD homes are sold as-is, and HUD will not pay to make any needed repairs. As with any home, buyers are strongly encouraged to have the home inspected and appraised.
  • Investors may bid on HUD-owned homes only after a period of time has elapsed, called the Exclusive Sales Period, at which point HUD will accept bids from all buyers, including investors.
  • Bids cannot be submitted directly by buyers. HUD uses private contractors, called “Marketing & Management Contractors” to manage its inventory. These contractors work with HUD-registered real estate brokers, called Local Listing Brokers, to accept bids, which can only be submitted by HUD-approved agents.

[Read Less]

Close [x]
Name this search: 
 
 
8106 Goldenrod Court, Indianapolis, IN 46219 8106 Goldenrod Court, Indianapolis, IN 46219 Add to Favorites
Subdivision: Tempo  
Hard to find four bedroom ranch with a partially finished basement in a desirable neighborhood. Kitchen features oak cabinets, separate dining room and living room. Spacious four seasons room overlooking shaded backyard. Needs some TLC but with a little s...
4 Beds, 2 Bath Areas, 2718 SqFt
$90,000 (For Sale)
J S Ruiz Realty, Inc.
7462 East Candice Drive, Camby, IN 46113 7462 East Candice Drive, Camby, IN 46113 Add to Favorites
Subdivision: Wildwood Shores  
A rare find! Custom built four bedroom home on 1.62 acres. Large detached garage with 2nd level and basement. Possible office or in-law quarters. Master suite with private access to deck. Daylight basement. Beautiful yard with mature trees. A great opport...
4 Beds, 4 Bath Areas, 3648 SqFt
$238,900 (For Sale)
Berkshire Hathaway Home
1608 North Cayuse, Greensburg, IN 47240 1608 North Cayuse, Greensburg, IN 47240 Add to Favorites
Subdivision: Lake Santee  
Four bedroom and two bath home as a two car attached garage.
4 Beds, 3 Bath Areas, 2260 SqFt
$109,900 (For Sale)
F.C. Tucker Scott Lynch Group
4202 Varner Road, Brownsburg, IN 46112 4202 Varner Road, Brownsburg, IN 46112 Add to Favorites
Subdivision: Clermont Heights  
Great opportunity to own this ranch home in the Brownsburg School District. Located on a large mature lot with fenced back yard, oversized 2 car detached garage and large open patio. Interior features of this 3 bedroom, 1 bath home include formal living r...
3 Beds, 1 Bath Areas, 1672 SqFt
$114,900 (For Sale)
Keller Williams Indy Metro W
Never miss another distressed home listing!
Address Not Disclosed, Indianapolis, IN 46208 Address Not Disclosed, Indianapolis, IN 46208 Add to Favorites
Subdivision: Miller & Wacker Parkway  
Nice 2 bedroom home on a wonderful street. Property has hardwoods floors and most of exterior is stone.
4 Beds, 1 Bath Areas, 2004 SqFt
$26,000 (For Sale)
BandWagon Real Estate, LLC
1705 Winfield Avenue, Indianapolis, IN 46222 1705 Winfield Avenue, Indianapolis, IN 46222 Add to Favorites
Subdivision: West Haven  
All Brick Home! 2 Bedrooms and 1 Bath on main level - Extra Rooms in Full Basement! Hardwood Floors! Some neat Upgrades! Some clean up, more upgrades and repair will Transform this property into a Beautiful Vintage Bungalow!
4 Beds, 2 Bath Areas, 2322 SqFt
$45,900 (For Sale)
AL Page Realty
406 South Washington Street, Chesterfield, IN 46017 406 South Washington Street, Chesterfield, IN 46017 Add to Favorites
Subdivision: Makepeace & Noland  
This is a Fannie Mae Homepath Property. Nice bungalow on corner lot in Chesterfield with amazing curb appeal. Large open front porch, large 2 car garage, laundry room, basement, and great covered back patio. Newer windows, partially fenced. Fireplace in l...
4 Beds, 1 Bath Areas, 2166 SqFt
$42,000 (For Sale)
Keller Williams Indy Metro W
10449 North 460 E, Demotte, IN 46310 10449 North 460 E, Demotte, IN 46310 Add to Favorites
Subdivision: Out Of Area  
Auction properties are sold AS IS without any guarantee or warranty by seller. Property may be occupied. Please do not trespass.
3 Beds, 1 Bath Areas, 1580 SqFt
$108,750 (For Sale)
Bang Realty
3592 South Flatrock Road, Salem, IN 47167 3592 South Flatrock Road, Salem, IN 47167 Add to Favorites
Subdivision: Springhill  
Auction properties are sold AS IS without any guarantee or warranty by seller. Property may be occupied. Please do not trespass.
2 Beds, 2 Bath Areas, 2387 SqFt
$82,650 (For Sale)
Bang Realty
Never miss another distressed home listing!
602 West Landess Street, Van Buren, IN 46991 602 West Landess Street, Van Buren, IN 46991 Add to Favorites
Subdivision: Van Burren  
Auction properties are sold AS IS without any guarantee or warranty by seller. Property may be occupied. Please do not trespass.
3 Beds, 2 Bath Areas, 2052 SqFt
$69,600 (For Sale)
Bang Realty
7120 Ralston Avenue, Indianapolis, IN 46240 7120 Ralston Avenue, Indianapolis, IN 46240 Add to Favorites
Subdivision: Ravenswood  
Investment opportunity in Ravenswood! This asset needs a full-renovation, but with the right vision can be brought back to fruition. Great location, great potential to create some equity! At this price, it won't last long!
1 Beds, 0 Bath Areas, 1223 SqFt
$24,900 (For Sale)
CENTURY 21 Diversified Realty
2005 Lafayette Road, Crawfordsville, IN 47933 2005 Lafayette Road, Crawfordsville, IN 47933 Add to Favorites
Subdivision: NA  
Great price makes good investment with a little sweat equity. Three Bedroom two bath home on corner lot. Two of the bedrooms have hardwood floors along with the dining room. Two car attached garage with door leading to fully fenced rear yard. Kitchen has ...
3 Beds, 2 Bath Areas, 1262 SqFt
$70,400 (For Sale)
RE/MAX Real Estate Associates
Close [x]
Name this search: 
 

  • Page 1 of 31