| Real estate investors know how to make money | | | | pressure. Perhaps the seller needs to close |
| buying distressed houses. Investors recognize | | | | quickly; in this case, a buyer ready with |
| that bargain houses offer the best way to | | | | financing in place with a lender who acts |
| make a return quickly.Bargain houses also | | | | fast can make an offer with a short escrow. |
| open up a way for first-time home buyers to | | | | Prepare yourself for quick action by getting |
| buy with little or no savings for a down | | | | your credit and financing in order before you |
| payment. If you want to reduce the amount of | | | | go home shopping.How to Buy a Distressed |
| down payment needed to buy a house, get the | | | | HouseYou must understand that a property also |
| seller to pay your closing costs. In a hot | | | | needs to qualify for financing. Extreme |
| seller's market when more buyers compete for | | | | fixers in poor condition don't qualify for a |
| the same properties, you either need to | | | | 100% purchase loan. However, houses needing |
| increase the purchase price to cover your | | | | only cosmetic upgrades easily pass a lender's |
| closing costs or find a distressed seller.A | | | | inspection. If you find a great bargain |
| bargain house may be in bad shape or the | | | | fixer, make sure that the house will pass |
| seller may be distressed. Home sellers who | | | | health and safety codes. Sometimes home |
| suffer from problems such as job loss or | | | | buyers will help the seller with little |
| transfer, divorce, death, pending | | | | changes that make a house "loanable." Minor |
| foreclosure, and lack of funds sell fast for | | | | changes like covering exposed wires with |
| less. Often these sellers offer incentives to | | | | switch plate covers, which cost as little as |
| the buyer, like paying the buyer's closing | | | | 19 cents, and repairing broken windows can |
| costs.A distressed house may also be a | | | | make the all the difference in passing |
| "doghouse," a dump, or a fixer. Owners of | | | | inspection.If you need help with your closing |
| fixers are not always distressed sellers, but | | | | costs, find yourself a distressed seller |
| they may still feel pressure to get rid of | | | | under pressure to sell. Not only will you get |
| their problem house.How to Find a Distressed | | | | help with funds needed to buy a home, you |
| SellerLook for listings and advertisements | | | | might also get a great purchase price and be |
| with the words "make offer," "fixer," "must | | | | on your way to making your future investing |
| sell immediately," "handyman's special," | | | | in real estate.Copyright (c) 2005 Jeanette J. |
| "divorce," "owner transferred," and "owner | | | | Fisher-All Rights Reserved.Jeanette Fisher, |
| help with closing costs." If you see two or | | | | author of Credit Help! Get the Credit You |
| three of these clues, you know you've found | | | | Need to Buy Real Estate, Doghouse to |
| an anxious seller.Discovering the seller's | | | | Dollhouse for Dollars, and other books |
| problem and finding a solution is the key to | | | | teaches real estate. She loves to help |
| buying a bargain property from a seller under | | | | first-time home buyers get into a home. |