Unraveling foreclosure homes in Denver and short sales
While the economy is improving across the nation and here at home, Denver real estate will always have some foreclosure activity and opportunities to pick up short sale properties. To truly understand these 2 concepts you’ll need to do your research on both foreclosure homes in Denver and short sales. Denver homes for sale listed as a short sale are in fact in a pre-foreclosure position, meaning they have not yet been taken back by the bank but can be purchased from the homeowner before the bank claims them. Foreclosed homes are also referred to as bank owned properties and held in the REO (real estate owned) divisions of the investors. The investors that own these Denver homes are banks, the Veterans Administration (VA), the Department of Housing and Urban Development (HUD), Fannie Mae, and Freddie Mac. Whether you’re the upside down homeowner threatened by the loss of your home or the investor or buyer looking to score an opportunity purchasing Denver homes we can help and get you all the foreclosure homes in Denver information you’ll want.
If you own Denver real estate and are facing foreclosure or are behind on your mortgage payments click here to learn more about your options and the foreclosure homes in Denver information you need now!
If you want to know more about buying Denver real estate foreclosed properties and homes offered for sale with short sale opportunities, click here to learn what you need to know before you jump in.
Basic Foreclosure Homes in Denver information and Denver short sales.
Foreclosed homes or any other Denver residential real estate is:
- A property the bank or lender has acquired through the process of repossession, much like a car. There are however a lot of hoops that exist to protect the homeowner to protect the homeowner from a fraudulent foreclosure process. Getting information and lists of foreclosure homes in Denver from the bank doing the foreclosure is practically impossible. You’ll want to call an experienced realtor who specializes in foreclosures to get the foreclosure homes in Denver information you’ll need from the start. The foreclosure process usually takes 6-12 months in Denver and elsewhere in Colorado, but there are specific deadline dates for filing a foreclosure action that must be adhered to.
- Once the bank owns the property, they assign it to their REO department. Negotiating for the purchase of Denver real estate through the REO department can take up to a week or so to get an answer. Banks look for the highest and best offer, and thereby allow a period of time to more or less collect offers and then select from the best. Calling the bank as a buyer or investor for foreclosure homes in Denver or on a particular property will be of no effect . . . it’s just not how banks work. Often buyers and investors see their offers on bank owned property as something the bank should be happy they get in the first place. Truly that is not the case and buyers operating under such a mindset are ill informed about the real estate market and what banks do and don’t do with their inventory. Call a knowledgeable realtor experienced in foreclosures and short sales to get the complete picture on foreclosure homes in Denver.
Denver homes offered for sale as Short Sales or Pre-Foreclosures are:
- Properties whereby the homeowner is behind on mortgage payments or are otherwise upside down in terms of value of the home, meaning they owe more than the home is worth. You’ll need current foreclosure homes in Denver information to properly understand the process of a pre-foreclosure sale and the costs associated with it.
- To purchase Denver houses via a short sale can be lucrative, but are time consuming as the bank does not actually own the property but rather the homeowner still does. All negotiations for the sale of the property using a short sale or pre-foreclosure approach must be handled through the homeowner and they in turn negotiate with their lender to accommodate the short sale. Very often buyers and investors think these properties are foreclosures and they are not as of yet because the bank has not officially taken the property back. To get the complete foreclosure homes in Denver information or short sale status of a property, call an experienced realtor familiar with both foreclosures and short sales.
- You’ll need to be patient buying a short sale opportunity as these can take months to negotiate, however newer procedures are in place to speed this up. When you submit offers for Denver homes that are pre-foreclosure or short sale listings, the process can take about 2-3 months to hear back from the bank if the bank has not already approved a short sale for the property. It is also possible the bank has no knowledge of any foreclosure homes in Denver registered for the property behind in payments. That’s because there are multiple departments running various aspects of their REO division and often they do not know the current foreclosure homes in Denver. Again, call a knowledgeable realtor for the short sale status and foreclosure homes in Denver information pending against a particular property.
- Buying Denver houses offered for sale via a short sale or pre-foreclosure opportunity can be a great opportunity to build your investment portfolio or acquire that first home, but you must be patient. Understand that the banks are the driver’s of this process and while they would prefer to avoid taking the property back through foreclosure, they are usually understaffed and have inventory ahead of the property you want to buy. Your realtor can provide you with the most up to date foreclosure homes in Denver and short sale information.
- Most importantly, work with a realtor who very skilled in negotiating short sales and preferably a realtor who employs an outside “short sale specialist” to avoid being mislead and adding additional costs and liabilities to the process. Call us for a free no obligation consultation to discuss the selling and buying of foreclosed Denver homes and Denver real estate acquisitions through short sales and pre-foreclosures. We will make sure you get all the short sale and foreclosure homes in Denver information you need whether you’re looking to score a great deal or are facing foreclosure. One piece of advice . . . don’t go it alone.