If you are planning to buy a home or invest in property then it’s crucial that you familiarize yourself with the housing market. For instance, do you know the difference between bank foreclosures and government tax sale properties?
Basically, a bank foreclosure occurs when a borrower is unable to pay his mortgage. When you are planning to buy a home, the best way to finance it is through a mortgage loan that you will typically pay off every month. When you are unable to make your payment, the bank will take back your house and consider it foreclosed. Foreclosures like Orlando foreclosures can be costly for the bank to maintain. After all, the bank has to invest money to repair and maintain the foreclosed homes until somebody buys them. This is one of the major reasons why Orlando foreclosures and other foreclosures are generally lower in price.
What about government tax sale properties? How do they come about? A government tax sale property occurs when a property owner is unable to pay his property taxes. Therefore, the government will seize the property and hold it up for auction. The property will naturally go to the highest bidder. When you purchase government tax sale properties, you also pay the taxes and interests that the former owner was unable to pay.
Whether you are an interested homebuyer or an investor looking for a property, both bank foreclosures and tax sale properties should be something for you to consider. You can obtain listings from numerous sources such as county clerks, banks and online services. If you do not have the time to physically visit Real Estate offices or banks then you can always obtain listings online. There are a number of sites that offers free listings and there are also those that let you access listings for a small fee.