Monday, January 3, 2011

Teachers and Home Buying: Foreclosures

Tenured teachers have job security and are good credit risks for a home loan. Teachers can tale advantage of many programs when getting a mortgage. However, with the glut of foreclosed homes, there may be a desire to actually get one. There are some problems that you should be aware of when buying an abandoned or foreclosed home. Teaching is a stressful job as it is. Don't make a mistake on a home purchase.

First, remember that if a home is a foreclosure, the low price may be wiped out by any repairs you need to make. Don't buy a money pit. If a price on a home is very low, it probably needs a lot of money tossed in to fix it up. A bargain foreclosed home may not be a bargain. It may be trouble for years.

Buying a foreclosure is not as quick as buying a new home. It may take months of haggling with the bank. Offers on short sales are being rejected by banks. If you are willing to wait and haggle, you may indeed up with a great home at a low cost.

A traditional home loan on a new homes can be much safer than one bought at an auction or other sale. You don't know what dangers lurk on past financing with the properties. Avoid going to auctions in the first place. You may not be able to view the whole house and you are bidding against real estate investors.

Many new home builders are getting cheaper land and paying lower fees. This may mean the purchase price of a new home is closer to a foreclosed home than you might think. But some builders are downsizing homes to also make them cheaper, and might not have a lot of upgrades. Also, the new homes available may only be near areas with little foreclosures and good jobs. You may not be able to get a new home in the area you want.

This may be the best time in years to buy a new home.

>>More information on Teachers getting home loans.

>>VA Veterans Home Loans

>>Solutions for cold feet!

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