Buying a Metro Detroit foreclosure be prepared

Once you put in an offer in on a Metro Detroit foreclosure be prepared for the banks addendums. It doesn't matter whether you are a Metro Detroit first time homebuyer or an experienced home buyer. The foreclosure buying process is controlled every step of the way by the bank. If you don't like it..... you don't buy the foreclosure. Banks and even Fannie Mae have their own set of addendums to your purchase contract. The first rules of the foreclosure addendums is you can't change anything on them, and if you don't sign them the way they are you don't buy the Metro Detroit foreclosure.

Here is a short form of what most banks addendums say:

1. Your purchase agreement isn't worth the paper it is written on. Our addendum supersedes your purchase agreement.
2. We can cancel this purchase agreement for any reason and you can't sue us.
3. But if you cancel we can sue you plus we will keep your earnest money.
4. We will continue to market this home and can decide to give this house to another buyer until we sign this agreement. ( I have had banks take 4 weeks to sign the PA and the addendums).
5. We have decided that you will pay our owners title policy costs. (some banks do this and fannie mae does it all the time)
6. We aren't liable for anything and you can't sue us. No mold, no misrepresentations, nothing.
7. If you don't close on time we can cancel this purchase agreement. Then we can charge just to extend it plus we can charge for everyday you are late.

Basically the addendums say you have no rights, you can't sue, and the bank is in charge. It's crazy to think that with all of these foreclosures out there that these addendums are that tough. But that's the way it is.... The banks are in charge if you want to buy a foreclosure. You do what they say when they say or they will sell the Metro Detroit foreclosure to the next guy.

Russ Ravary your Metro Detroit real estate agent

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