Posted by JT-IN on July 09, 2003 at 16:26:30:
The cautions that you refer to about newbies buying foreclosures, relates to buying at the auction only. When buying an REO property, you will stipulate by contract things such as taxes being prorated, clear and unencumbered title at conveyance, and any other contingency they will agree to. This greatly reduces the risk of purchasing property. In other words, the Lender has already undergone the risk of buying at Sheriff Sale, and is now selling to you essentially the same as any other seller would; clear title, or else it doesn’t close.
Do your due diligence on the repairs, costs and comparables, which it seems like you have thus far, and you should be fine.
Just the way that I view things…