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Five Potential Problems to Check for on Foreclosed Homes

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By : Leticia Carvalho    99 or more times read
The number of American homes that faced the danger of foreclosures in October 2008 reached 280,000 which went up 25 percent from last year. This increase in foreclosure properties have flooded the market with several lower priced homes that banks would like to get off their books at the soonest possible time.

In a survey performed by the American Society of Home Inspectors, although only two percent of Americans have actually purchased foreclosed homes, two-thirds might consider buying foreclosed properties. With the significant drop in prices, investors and first time buyers are flocking to the opportunity of grabbing a good deal with the purchase.

However, foreclosed homes can present lots of problems, particularly in as-is cash deals which appear to be the trend in the market at present. To get more discounts from the deal, investors and buyers would opt to forego inspection prior to the actual purchase, and this may result to disasters and other problems that would cost more money in the long run.

The most common problems with vacant homes are molds and mildew. This is more evident for homes that have encountered water damage in one form or another. Whole sections of drywalls and floorings might be infected with molds and would require replacement.

Another common problem for vacant homes is blight, vandalism and break-ins. Some vandalism is caused by former residents themselves who deface portions of the house prior to being evicted. Former residents may strip everything they can off the house before they go. This includes carpeting, lighting fixtures, cabinets and even whole toilets. Trash and other junks are sometimes left that would need cleanup jobs.

There are cases where the vacant homes became host to wild animals like boars, bats and even panthers who may have been displaced from their natural habitat by floods or rains. The homes may also need additional maintenance to utilities, plumbing, heating and other fixtures. A prospective buyer should look into these items first prior to purchasing a foreclosed home.
Leticia Carvalho has been educated in the finer points of the foreclosure market over 5 years.

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