First time home home buyers may not be able to buy bank owned foreclosures
Bank owned foreclosures are attractive to both the investor and the first time home buyer. However the first time home buyer may not be able to obtain financing for all of the bank owned foreclosures on the market.
Condition is the key. If a home does not meet certain property standards, first time home buyers may not be able to get a mortgage on the homes. Lenders are generally selling their inventory as is and may not be able or willing to make needed repairs called for by an appraiser or lender in order for the home to qualify.
It is important as a new home buyer to check with your real estate agent and lender regarding the condition of the home you are considering buying. Knowing what to look for and avoid when it comes to distressed and damaged property will save you time and frustration.