We've all heard the stories about great deals people are getting on foreclosures in Phoenix..  And it's true...there are some GREAT deals to be had on foreclosures in Phoenix.   Still, to get the best deal on Phoenix foreclosures, you need to know all the details about buying one, and you need an agent who is an expert in buying foreclosures in Phoenix.

There are some important differences in buying a foreclosure over a standard resale home.   The differences center around the length of time it takes to close on the foreclosure, what to expect when making an offer, how much to offer, terms of the sale, and closing on the Real Estate.   If you or your Realtor in Phoenix AZ. do not know this process well, you will end up making alot of offers, and not getting anyone to accept.  It can be extremely frustrating.

At the Right Move Team, we are experts at purchasing foreclosures in Phoenix AZ.  Now, let's examine some of these differences.

WHAT EVERYONE NEEDS TO KNOW ABOUT BUYING PHOENIX FORECLOSURES

1.  Length of Time to Close - When buying a home in foreclosure in the Phoenix area, you need to expect at least 45 days to close the sale before you can move in.   On a typical Home resale, it only takes about 30 days.  The additional time required is due to the fact that you are working with a bank owned home, and that bank has literally hundreds of home foreclosures that they are dealing with.  It can take days, sometimes a week, to get a simple signature from them.

2.  What to Expect when Making an Offer.  When you place an offer on foreclosures in Phoenix, the process is different than buying a standard resale home.   With a foreclosure, you place an offer, but there are typically a number of other people placing an offer on the same home.   As a rule of thumb, there's about an 80% chance there will be other bidders.  

Foreclosures in Phoenix are very popular with both investors and homebuyers, so the nice homes attract multiple offers.  When this happens, the bank comes back to you and gives you one chance to raise your bid...this request is for your "Highest and Best" offer, as the bank calls it.  If your offer is accepted, you will then have a lengthy addendum to sign in order to complete the sale.  This will modify the terms of the original purchase contract you signed, so make sure your agent is familiar with it.  

The timing and length of your inspection period may vary, as will the disclosures you get, and the rules for the return of your earnest money.  Again, it's important to work with an experienced foreclosure Agent. 

3.  How Much to Offer:   When buying foreclosures in Phoenix, you need to know how much to offer in order to get the home.   At the Right Move Team, we carefully analyze the market so we know how the final sale price of foreclosures compares to the list price of foreclosures in your area.  This tells you how much you need to offer in order to have the best chance of getting the home.   If your agent does not know this info, or find it out for you, you can either end up over paying for the home, or offering too little, over and over, never getting your offer accepted.

4.  Terms of the Sale:  Foreclosures in Phoenix are sold differently than standard resale homes.   With a foreclosure, you buy the home "as is" meaning that the seller will not make any repairs to the home for the buyer.  What you buy is what you get.   Further, the bank will not make any disclosures that are typically given with standard resales.   It's truly "buyer beware".   Make sure your agent, or you, know of a good, trustworthy home inspector and termite inspector to be sure you are not buying a money pit.

5.  Closing.   On a standard resale home, the seller typically signs papers at title the same day, or even before, you do.   This means the property can record right away, and you get the keys quickly.  WIth foreclosures in Phoenix, the bank may not sign documents for 2 to 5 days after you do, so there is typically a delay of up to a week to get your keys after your sign your papers.   Make sure you plan accordingly!

The home prices in Phoenix are very low right now, with homes selling at 2000 prices. Phoenix foreclosures offer additional opportunities for discounts, from 5-25% below market, typically. It can be a great deal, if you know the process and have a trustworthy Realtor to help you navigate the process. For a list of currrent foreclosures in Phoenix, click this link:  http://azhomechoices.com/f-dash.asp?Page=203524.asp