Distressed Deals in Real Estate & Legal Counsel

Just because a deal is legal does not necessarily mean it is in your best interest.  You may have an attorney present at a real estate closing, but unless you hired the attorney, that attorney does not represent you.  Many things are legal in a real estate transaction which may NOT benefit your goals. There are some great deals in today’s distressed real estate market…and there are some less great deals.  Foreclosures and bank-owned properties (or REO’s) can make for good investment opportunities IF you know what you are getting.  A great purchase price may buy you a terrific expense. An attorney who represents you and only you in a real estate transaction can examine a deal from all angles and look out for your best interest.  Sometimes the risk is worth the reward, but you should know what those risks are so you can make an informed decision. Good legal counsel does not have to be expensive, and it may save you a fortune.   Read More

Do Your Due Diligence in Buying Foreclosures & REOs

Just because a deal is risky does not necessarily mean you should not do it.  Sometimes the risk is worth the reward.  But you need to be aware of the risks so you can make an informed decision.  Do your due diligence before you obligate yourself and your resources.  There are a lot of good deals in the foreclosure and real estate owned (REO) market, but you need to know what you are getting into. Do your property inspections, and have an attorney look over your shoulder at the legal paperwork.  Often the better the bargain the more complicated the contract, which is a good time to have a set of expert eyes to help you see the true value from every angle, a third party specialist who is looking out for your interest alone. Attorneys are not just for dire situations.  They can help you reach your goals in more positive circumstances.  Due diligence with competent legal counsel can help prevent a dire situation in a foreclosure or REO purchase, and they can help you know about the possibility of one.     Read More

Bargains in the Foreclosure Market

There are bargains to be had (especially in the Miami metro area) if you are looking at the foreclosure market.  But it is buyer beware in the bargain basement of distressed homes.  Here are some tips for shopping at the courthouse steps. Have a reputable realtor assess the value of the property.  This will underscore exactly how much of a deal you are getting and help you set your bid price.  AND do a title search.  Make sure everyone is on the note who has an interest in the property.  You do not want to buy a bargain beachfront only to realize it is a SECOND mortgage and your view is blocked by $400,000 of the first mortgage. And remember to bring cash if you are headed out shopping for a great deal in the housing market.  Five percent of your bid amount is due upon sale, and you have to pay the rest of it within two hours. RealtyTrac is reporting median home sale prices in March as 28 percent lower for foreclosure homes than non-distressed properties.  However, you may want to have a lawyer look over your shoulder at the deal.  Later legal fees are often more expensive […] Read More