According to RealtyTrac, the average sales price for a foreclosure home in Cook County, IL is $127,081. One in every 311 households received some type of foreclosure notice in Cook County in March 2012. There are many foreclosure opportunities available for buyers/investors in Cook County. Chicago and Evanston are two major cities located in Cook County.
Tips
If you are serious about buying a Cook County foreclosed home online at a property auction, then you need access to a database that gives you the most up to date information about online auction dates and provides you detailed information about the properties. You may have to look at several online sources to get all the property information. You will want to invest in a tracking system that you can rely on for your information because you need to be organized and able to quickly identify different property and the property details.
Before you make a bid, you will want to drive by the home if you live nearby or send someone you trust to look at the property to find out if it is vacant or not. When former owners or tenants are still living at the property, the new owner must pay for the costs of evicting them. The auction company can probably give you that information as well. You should also inquire whether you will be able to conduct an inspection of the property prior to the auction. Knowing the condition of a property will help you determine the right price to pay for it. You might want to avoid properties that need major systems such as new roofs, plumbing and electrical, unless you can do it yourself because those repairs are more expensive than cosmetic repairs. You will need to budget for repairs in your bid. Also ask the auction company about details regarding bidding and payment if your bid is selected. Most online auctions require that you register in advance and make payment arrangements to send the balance of funds when your bid is selected.
Make sure you verify the auction time and date. Many times auctions get postponed because the owners are negotiating with the banks to keep the homes from going to foreclosure sale. You might want to choose several properties in case one or two auctions get cancelled. If they do get cancelled, you will need to track the property to see if the date gets rescheduled. Online auctions are the most convenient way to purchase a foreclosed property because you can bid anywhere you have access to the Internet. All online auctions are open to the public just like auctions you attend in person. You should do your due diligence and check the foreclosure laws in the state where the property is located to make sure that the former owner does not have the right to redeem the property post sale. You may want to consult with a real estate attorney to find out more about the foreclosure laws in a particular state.
A Realtor can prepare a free market analysis report for you which gives you information about recent home sales in the area. Or there are many resources online that you can use to access the information as well. This way you will know what price to bid and can tell if the home is a good deal. While most foreclosure homes are bargains, you still want to make sure you know your market before you make a bid. Also take into consideration the condition of the home, repairs, etc. and whether there are any liens on the property you may have to pay off if you acquire it.
REO’s
Any properties that do not sell at online auctions are bought back by the banks that own them and offered for resale as REO’s (real estate owned). REO’s are also good bargains. Banks list their REO’s with local Realtors. If you want to make an offer, you must do so through a licensed Realtor. REO’s can be inspected, and you can obtain title insurance unlike auction homes where you cannot obtain title insurance. REO’s offer buyers/investors less risk because the bank pays off the liens prior to offering the home for sale.
You will find competition for online auction homes and REO homes because buyers know that these homes are offered at or below market value. Owning a foreclosed home in Cook County, IL means you are acquiring a property with a built in equity. Right now, Cook County foreclosed homes are popular among first time home buyers and investors, who many times are competing for the same properties. You can obtain your own financing when you make an offer on a REO, but banks like cash offers better and tend to accept those first because they know the buyer can close the deal.
Buyers/investors should take advantage of purchasing foreclosure properties at online auctions because no one knows how much longer these terrific bargains will be available in the Cook County area. According to RealtyTrac, the average sales price for a foreclosure home in Cook County, IL is $127,081. One in every 311 households received some type of foreclosure notice in Cook County in March 2012. There are many foreclosure opportunities available for buyers/investors in Cook County. Chicago and Evanston are two major cities located in Cook County.
Tips
If you are serious about buying a Cook County foreclosed home online at a property auction, then you need access to a database that gives you the most up to date information about online auction dates and provides you detailed information about the properties. You may have to look at several online sources to get all the property information. You will want to invest in a tracking system that you can rely on for your information because you need to be organized and able to quickly identify different property and the property details.
Before you make a bid, you will want to drive by the home if you live nearby or send someone you trust to look at the property to find out if it is vacant or not. When former owners or tenants are still living at the property, the new owner must pay for the costs of evicting them. The auction company can probably give you that information as well. You should also inquire whether you will be able to conduct an inspection of the property prior to the auction. Knowing the condition of a property will help you determine the right price to pay for it. You might want to avoid properties that need major systems such as new roofs, plumbing and electrical, unless you can do it yourself because those repairs are more expensive than cosmetic repairs. You will need to budget for repairs in your bid. Also ask the auction company about details regarding bidding and payment if your bid is selected. Most online auctions require that you register in advance and make payment arrangements to send the balance of funds when your bid is selected.
Make sure you verify the auction time and date. Many times auctions get postponed because the owners are negotiating with the banks to keep the homes from going to foreclosure sale. You might want to choose several properties in case one or two auctions get cancelled. If they do get cancelled, you will need to track the property to see if the date gets rescheduled. Online auctions are the most convenient way to purchase a foreclosed property because you can bid anywhere you have access to the Internet. All online auctions are open to the public just like auctions you attend in person. You should do your due diligence and check the foreclosure laws in the state where the property is located to make sure that the former owner does not have the right to redeem the property post sale. You may want to consult with a real estate attorney to find out more about the foreclosure laws in a particular state.
A Realtor can prepare a free market analysis report for you which gives you information about recent home sales in the area. Or there are many resources online that you can use to access the information as well. This way you will know what price to bid and can tell if the home is a good deal. While most foreclosure homes are bargains, you still want to make sure you know your market before you make a bid. Also take into consideration the condition of the home, repairs, etc. and whether there are any liens on the property you may have to pay off if you acquire it.
REO’s
Any properties that do not sell at online auctions are bought back by the banks that own them and offered for resale as REO’s (real estate owned). REO’s are also good bargains. Banks list their REO’s with local Realtors. If you want to make an offer, you must do so through a licensed Realtor. REO’s can be inspected, and you can obtain title insurance unlike auction homes where you cannot obtain title insurance. REO’s offer buyers/investors less risk because the bank pays off the liens prior to offering the home for sale.
You will find competition for online auction homes and REO homes because buyers know that these homes are offered at or below market value. Owning a foreclosed home in Cook County, IL means you are acquiring a property with a built in equity. Right now, Cook County foreclosed homes are popular among first time home buyers and investors, who many times are competing for the same properties. You can obtain your own financing when you make an offer on a REO, but banks like cash offers better and tend to accept those first because they know the buyer can close the deal.
Buyers/investors should take advantage of purchasing foreclosure properties at online auctions because no one knows how much longer these terrific bargains will be available in the Cook County area.
