Are you buying a foreclosure home in Maryland?
There's more to buying a foreclosure home in Maryland compared to a traditional home sale. Opportunities can come with foreclosures, but is it right for you?
About Buying Foreclosure Homes in Maryland
What you need to know?
Buying foreclosure homes in Maryland is a little different from buying short sale homes in MD.
Properties that did not sell to a buyer while the homeowner lived in the property, or didn't sell at the foreclosure auction are not owned by the foreclosing lender.
Foreclosure homes in Maryland could be offered for sale after the seller completed a deed in lieu of foreclosure with the lender as an alternative to the lender foreclosing in the property.
Foreclosure homes are sold "As Is"
Most lenders will not make any repairs for a buyer. Typically, they sell their homes "As Is" or in other words, sold in the condition the property is in.
Sometimes, lenders will clean up the property making it more presentable to prospective buyer's, but it vary's depending on the lender and the policies.
When preparing an offer, you could add a home inspection addendum or an "As Is" home inspection addendum. This can give you comfort knowing the condition of the property is satisfactory.
Lender contracts, addendum, and fees
Some lenders require that a buyer use their purchase agreement and addendum's, and may not allow certain MD Realtor® contract addendum's to be part of the buyers purchase agreement.
In some cases, a lender may charge a buyer premium, which could be a flat fee or a percentage of the sale. Other times, a lender may charge a buyer or buyer's agent a processing fee.
Submitting an offer on foreclosure homes
In most cases, your buyer's agent can present an offer directly to the listing agent for the lender property, but some lender require that you submit an offer using their online portal.
For example, if you're buying Fannie Mae foreclosure homes in MD, you're buyer's agent may be required to submit your offer through Fannie Mae's web portal at Homepath.com. If you're agent has an account, they will be able to download Fannie Mae's forms for your offer.
Contact Michael Nolen about buying foreclosures and short sales in Maryland.
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My client commitment
Taking what I've learned from the mortgage and housing industry and the US housing collapse, I strategically assist my clients throughout the home buying process.
I'm committed to being different by being an educator, and not a salesman. You should always be informed and comfortable when buying a home and selling your home
- Michael Nolen, Realtor®
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