Edmonton MLS® Foreclosures
The most common way of purchasing foreclosure properties in Edmonton is through a REALTOR®®. Although you will face more competition using this approach, as long as you have a REALTOR®® who knows what they are doing and can provide you with some tips, you can make a pretty penny.
Properties on the MLS®® are usually listed at fair market value. This is one of the biggest differences when comparing foreclosures in Edmonton and the United States. The ones listed below market value do not stay listed for long. Your REALTOR®® is the key to your success here; make sure that you are setup on some sort of automatic update to receive the lasted foreclosure list.
More often than not, there is not enough time for you to do enough research before you write an offer. The mortgage holder is also somewhat reluctant to provide you with any information pertaining to the property. If the property is listed under market value, there’s a real strong chance that you will be in a multiple offer situation, meaning more than one offer will be submitted.
Most Edmonton foreclosures are “Sold As Is” the Purchaser must purchase the property in its current state. No repairs, upgrades or warranties will be provided from the Seller. This is usually drafted in a separate form called a “Schedule”.
There are three major items Banks look for when an offer is submitted. Number one is price, number two is possession date and number three is terms & conditions. If there are multiple offers on a foreclosure property, your best chance of winning should be obvious; good price, quick possession, little or no conditions.
If you are purchasing a foreclosure condo the chances of the mortgage holder providing copies of the condominium documents is very slim. One way to get over this hurdle is to spend the cash to get the documents yourself or talk to other owners in the building and see if they have a copy.
If you don’t feel comfortable with submitting an unconditional offer, we suggest implementing a “Due Diligence” condition. If your offer is accepted this should give you enough time to get you’re financing in order and perform a home inspection.
There’s really no secret to obtaining a foreclosure property. Just make sure your REALTOR®® knows what they are doing and you should be fine.