The Newly Updated Repo

by Tom Webb on January 10, 2012

The foreclosure stats are amazing by without doubt. Bank owned homes have overrun many markets and are usually damaging to neighborhood values. Foreclosure properties are commonly the worst kept properties in the neighborhood with vandalism and property burglary frequent. Shortage of house owner engagement regularly causes the property to deteriorate at a quicker than normal pace.

These contributors have created a negative image for foreclosures in many regards. Imagine being a homeowner next to an inadequately maintained foreclosure home. This image makes it straightforward to comprehend the negative connotation associated with foreclosures in numerous areas. The market has created a universal mental picture when it comes to foreclosure properties.

Here’s the problem: negative image drives down home values. Several of the largest corporate sellers have realized this fact and are rebranding to a kinder, more interesting repo property. Sellers such as Fannie Mae, Freddie Mac and HUD are striving to meet certain property standards and are engaging a fresh look at their home inventories to buyers. Fannie Mae and Freddie Mac often now make improvements to the property—new carpet, appliances, paint and other repairs—to bring the property up to localstandards. These properties are not always your conventional repo!

Enter the updated marketing for these homes: the biggest being HomePath, HomeSteps and HUD’s HomeStore. The internet sites for these properties have a fresh new look. Your basic list of foreclosures provided by a local MLS is gone and replaced with a very easy websites with tons of pictures, property details and contact info. There’s even information related to financing and closing cost promotions linked with some properties.

Buyers in the market for a new property should review their attitude on foreclosure homes. These houses have come a good way and regularly compete now directly with fair market sales in terms of condition, desirability and quality. A home buyer should keep all houses in mind , even HUD homes for sale in the area. A purchaser may be surprised at these foreclosure prospects.

Purchasing a foreclosure could be a good investment so long as a buyer is familiar with the process and opportunities. Tom Webb is a real estate investor and real estate agent. Tom provides details about purchasing and marketing REO and bank owned homes at the REOOpportunity.com website.

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