Jan W Bond

BEFORE YOU BUY A FORECLOSURE

Get Answers to These Important Questions

Before you make an offer to buy a property in foreclosure, consider your answers to these 4 questions.

•1. What's the first thing a buyer should do?

As a popular movie once said, "Show me the money!" Do you have cash or will you require financing? In either case, you have to demonstrate you can perform. This means proof of funds for a cash buyer (usually a bank statement) or a pre-approval letter from a lender indicating how much you can borrow.

•2. Is this a good time to buy a foreclosed property?

Local market conditions vary so the answer to this question is different depending on location. Buyers in metropolitan Detroit face a much different market than buyers in southern Florida for instance. Contact a Realtor to confirm your impressions of the local market. Prices declined in most major metropolitan areas in the U.S. during 2008. Foreign investors and domestic investors are purchasing in bulk, signaling for them at least, it's a good time to buy.

•3. How can you tell a bad deal from a good one?

Due diligence is a term that means you've done your home work. A reasonably prudent investor will thoroughly research details of a potential investment before completing a sale. Unpaid liens, back taxes, outstanding water & sewerage charges, clouds on the title...the list can be quite long. An attorney, a housing inspector, an experienced real estate broker all can work on your behalf to help you avoid the special challenges of buying a foreclosed property.

•4. How does neighborhood location affect foreclosure investment properties?

Location, location, location-- the 3 most important things to consider when deciding whether to buy or not. Avoid purchases in distressed and blighted locales. You want to reasonably expect that vandals and thieves won't strip your property as soon as you leave for the day. Well established neighborhoods are the best to buy in. Even houses needing lots of work can be profitable eventually if you buy in a viable area that has ‘pride of ownership'.

SOURCE: Jan W. Bond, Owner/Broker, Bond Realty LLC, email: janwbond@bondrealty.net

http://www.bondrealty.com

Detroit, Michigan (BRltyLLC)- REO (real estate owned) brokerage firm Bond Realty LLC will soon celebrate 7 years in business, serving buyers and sellers of foreclosed houses in Metro Detroit. Bank owned properties are found in upscale, middle class and economically challenged neighborhoods throughout Southeast Michigan. Wayne County especially, has been hit hard by high unemployment and a declining housing market. Not surprisingly, Wayne County had the highest foreclosure rate in the United States for 2007.

Small wonder then that mortgage research company Realty Trac Inc. reported a foreclosure rate that jumped 68 percent in 2007 from the prior year in Wayne County. Sadly, many homeowners have fallen behind on mortgage payments. One website that offers foreclosed properties for sale, ForeclosureNet.net, lists over 6,600 houses for sale in Wayne County alone.

All this activity has provided niche real estate brokers like Bond Realty LLC, an opportunity to put distressed properties back on the tax rolls. "I've lived in Detroit since the early 50's and want to see things get better" said Bond Realty owner Jan W. Bond.

Through his website, owner Bond provides photos, addresses, and prices for properties that typically have been recently foreclosed. Typical buyers are local or out of state investors interested in acquiring foreclosed houses. Bond was first licensed as a real estate broker in 1987. "The local real estate market has gone up, down and all around over the past 21 years" opined Bond. Helpful links to governmental agencies and private firms that cater to the foreclosure real estate market can also be found on the Bond Realty website.

Some properties marketed by Bond are priced below $10,000. To be sure, most are priced less than $100,000 A few years ago, Bond sold an Oakland county property for more than $700,000. Average home prices in Wayne County fell to $110,800 in the 3^rd quarter 2007 from $113,200 the previous quarter (source: Realcomp II Ltd. A Multiple Listing Service).

All of this keeps Associate Broker Bond quite busy. A former U.S. Army personnel officer, Bond also served stints with Ford Motor Company and American Motors as a human resources staffer. He graduated from Wayne State University with a Bachelor of Science in Business Administration and Michigan State University with a Master of Labor and Industrial Relations. Contact Bond by his email at janwbond@juno.com or call him at (313)510-6713. Visit the website at http://www.bondrealty.com/.