Question:

[poast-bortem!]

Buying homes through Government Tax Forclosures. Worth it...?

I saw a commercial advertising cheap homes, some even for under 100 dollars. < I don't really whole-heartedly believe that.

However, It got me thinking that if this was at all legit, it could be an insanely great way to invest. Buy like ten of these houses, rent them all out to mexicans, or fix them up and sell them.

[xilikeeggs0]

Maybe under $10,000, but not under $100. Most of the places that are advertising those are scams that want to charge you to look at the listings. If you know of an actual real estate auction, check it out!

The downsides to real estate auctions:
1) You can't have the house inspected before you buy it, so you have no idea what's wrong with it.
2) There's no seller's disclosure, so once again, you have no idea what's wrong with it.
3) Lots of times you don't even get to look at the house before you buy it.
4) You have to put around 10% of the price down the day of the auction, then you only have 30 days to come up with the rest of the money.
5) People who are getting foreclosed on generally don't take very good care of the houses they're about to get kicked out of, so don't count on finding a house that doesn't need work.

[Jo Nathen]

Originally Posted by xilikeeggs0

Maybe under $10,000, but not under $100. Most of the places that are advertising those are scams that want to charge you to look at the listings. If you know of an actual real estate auction, check it out!

The downsides to real estate auctions:
1) You can't have the house inspected before you buy it, so you have no idea what's wrong with it.
2) There's no seller's disclosure, so once again, you have no idea what's wrong with it.
3) Lots of times you don't even get to look at the house before you buy it.
4) You have to put around 10% of the price down the day of the auction, then you only have 30 days to come up with the rest of the money.
5) People who are getting foreclosed on generally don't take very good care of the houses they're about to get kicked out of, so don't count on finding a house that doesn't need work.

How did you find this out??

[InspiredByMe]

Originally Posted by xilikeeggs0

The downsides to real estate auctions:
1) You can't have the house inspected before you buy it, so you have no idea what's wrong with it.

Hahaha...methlab, probably reeks of HCl.

Don't they do this with car also? Are there auctions for the cars and how would you find any of these auctions?

[xilikeeggs0]

Originally Posted by Jo Nathen

How did you find this out??

It's called research.

[xilikeeggs0]

Originally Posted by InspiredByMe

Hahaha...methlab, probably reeks of HCl.

Don't they do this with car also? Are there auctions for the cars and how would you find any of these auctions?

Yea, they do them with cars that get repo'd or towed and the people never come get them.

[poast-bortem!]

Thanks for the information, eggs.

[xilikeeggs0]

Originally Posted by poast-bortem!

Thanks for the information, eggs.

No problem.