When, Why, How and What Should I Do to Buy a Home?

I understand the dilemma of choosing which direction to take attempting to purchase a Home today. With an abundance of mixed information, derived from many and various sources, it’s often difficult to assess which are of real value or actually valid. It is essential to make allowance of time to research, to sift through and decipher that which is pure commercial advertising or a well informed and valid service. We need to proceed carefully!
At this time with quick access to mass data, etc. it is essential to determine what is really necessary information. Is it providing valid reliable well informed details to make major financial decisions?
Today in the Real Estate Market, Home Prices are discounted and much lower than they have been for several years, along with low interest rates.
In addition if you are a “First Time Buyer” you have available from the “Stimulus Plan” a First Time Buyer $8,000. Federal Income Tax Credit. (See IRS CODE) at http://www.irs.gov/
There are many articles and advertisements discussing Home Foreclosure /REO’S Bank Owned and Short-Sales.It is important to understand the basic workings relating to them.
REO’S are Bank Owned Real Estate. Properties foreclosed upon by the lender upon the delinquent non -payment of the loans.
The existing huge inventory of REO’S has greatly contributed to the discounting of home values , which can be a bonanza for some, if qualified to purchase at this time. What may appear on the surface as a “Bonanza” may not be for all, especially if the property has not been thoroughly inspected prior to your offer to purchase.
There are many possible pitfalls, if you’re not cautious since the lenders are exempt and not required to make disclosures with reference to the conditions of the foreclosed property. Often the property may require extreme repairs. It is essential to hire a qualified “Home Inspection” company for an extensive inspection.
The U.S. Department of Housing and Urban Development has a great web site which I feel is a wonderful source of information for the Buyer. www.hud.gov
Such as : With assistance on, what you can afford on your income, credit rating, current monthly expenses, down payment and the interest rate... check several lenders, compare costs and interest rates, and negotiate to get a better deal. Consider getting pre-approved for a loan. Make your offer contingent on a home inspection. An inspection will tell you about the condition of the home, and can help you avoid buying a home that needs major repairs
You owe to yourself to check it out. www.hud.gov

Short Sales: When the property owner attempts to sell the property, upon accepting with a contingency, an offer which is less that the amount owed to the bank, negotiating with the lender to accept less than the amount actually owed.
The short Sale can be difficult to complete and close in a timely manner, many times they will not close. Lenders are not always agreeable to the negotiation of a lesser amount and may be quite slow in discussing them or providing agreement.
In Short Sales the Sellers are responsible to and should disclose the condition of the property; however it is still essential to get a Home Inspection.
Locate and work with a Realtor, ask questions and always verify!
Please Note: Real Estate Brokers do not give Tax or Legal advice, always contact your Tax /Legal advisors