Taking Advantage Of USA Foreclosures

[amac]

Reading other posts I understand that the US "may" have some way to go before the bottom is reached but will this affect bank owned/foreclosures apart from the number that may be available. We are offering on a bank owned property at 65% than it cost 2 years ago; it is 4 years old. All the figures add up as a long term rental with a decent renter base etc. We are happy with this and tend to have a bird in the hand philosophy rather than try to be too clever and possibly loose out.

My question is are bank owned/foreclosures likely to get cheaper or is there a point the banks won't go below?

andrew

[deejay-55]

I don't know what the future holds - right now there is plenty of property on the market in Orlando Florida at prices less than the peak of two years ago, both foreclosure and MLS listings

[amac]

Just an update.

Bought for $120,000 and rented out on a years lease at $1,195 per month.

We are very happy.

[Sunnyshores]

Viceroy Invest have just sent me a detailed PDF file about US foreclosures in the Mid West - I had a quick look, seems pretty good, but no money to invest at the moment, so I'm not taking it any further. They may be worth calling for some background research. By the way, I've never dealt with them and dont know anything about them so I'm not recommending them one way or another. and No, I'm not an agent!!

Also, a different idea but Iain Maitland who produces various property investment newsletters has just sent a mail out about the Go Zone Act, which covers property investment in the hurricane-damaged areas of Mississippi, Louisiana and Alabama along the Gulf of Mexico coastline. Loads of tax incentives and cash back opportunities - again I havent research it and am not recommending it - just assing the news on.

[sameer.dada]

I'm interested in buying property in the US for flipping after renovating. Would really be grateful for any advice.

Buying REO or foreclosures is better?
When buying these do we get to see a report of a survey about the exact condition of the house. The things you can't see in pictures Ie. plumbing, wiring, internal etc. ( to avoid surprises later which add cost and time for repairs).
Is it better to hire 1 contractor to do the whole renovation? Do they supply the material or do we need to buy separately? Ie wooden floors, paint, tiles etc.

How many bedrooms in a house for best flip potential?

How to know where the best location is? Is there any info online about home buyer's index/statistics in particular suburbs?

Thank you in advance for any input or feedback.

[Sunnyshores]

Amac - just seen your update, great rent. Where did you buy in the end? Was this a decison based on location or purely a reduced price and great yield and the location didnt matter?

Sameer - I cant help on what to buy for flipping or on rennovaitons but I have some general answers to your quesitons :

There is a detailed Home Report done by an independent company/surveyor this is called a Home Inspection Report. I think it is standard that this is done before sale and commonly used as a means of beating down the price. Mine cost $350. It didnt include a good look at the roof, but it recommended a roof report as he suspected problems.

There are a few websites I use to assess prices, previous sales, rentals, demographics, crime, some have forums for residents.
Trulia - Real Estate, Homes For Sale, Sold Properties, Real Estate Maps
Stats about all US cities - real estate, relocation info, house prices, home value estimator, recent sales, cost of living, crime, race, income, photos, education, maps, weather, houses, and more
Sperling's BestPlaces
Best Places to Live: Compare the Best Cities & Small Towns for You! (a fun quiz)
www.realtor.com

[sameer.dada]

Thank you.

[amac]

Purely on reduced price and yield. We haven't seen the property but have a realtor who we trust totally in areas like this. He sold our STR house at Reunion in Orlando in July this year for a decent profit and enabled us to buy this.

Condo is at MetroWest.

Regards,
Andrew

Originally Posted by Sunnyshores

Amac - just seen your update, great rent. Where did you buy in the end? Was this a decison based on location or purely a reduced price and great yield and the location didnt matter?

]

[Sunnyshores]

Andrew - Thanks for answering, I'm always interested to know what sort of decisions people make.

[sameer.dada]

loanstore - thats a pretty good roi %.
Which area did you buy this house in and how many bedrooms & bathrooms does it have?