Is this a property that is now in the foreclosure process (on a VA insured loan), or a property that is owned and listed for sale by VA after foreclosure has been comleted. It makes a big difference.
VA post foreclosure sales are usually based on some kind of market value appraisal done by licensed appraisers. Foreclosure sale prices might be based on appraisal, or the amount of debt owed, or a combination of both. Bidding is bidding, i.e. you can offer anything you wish. It depends on why you want the house.
Posted by Walt Beasley on February 10, 2000 at 05:36:28:
HELP…
Va foreclosure came available on the street that I live on.
Nice neighborhood most homes built 1984-1987. The Realtor that handles the process in my area called me and would place the min bid tommorrow. My question is how do they come up with the figures for that bid? Is it based on what is owed on the property? Or is it FMV or Comps in the area?
The home is a 3/2, guessing about 1100-1200 sq ft. Based on what I can find online the FMV after repairs($2500)is about $75k. Any recommendations on what to bid or how to proceed?
Also, have seen many posts about using OCTitle.com for comps. How do you find comp info on that site? Any help in this area would be greatly appreciated.
Number 1 I have found that the prices are relatively high, higher than HUD repoS for example. I’ve always felt that they are still trying to protect the veteran, even though he defaulted. The price is supposed to be the FMV in its current condition. I think they error on the high side.
number 2 there financing is excellent particularily for an owner occupant. they will finance fixed rate for 30 years owner financing with no balloon and the mortgage is assumable even by a non-vet.
number 3 they often give a discount for cash, which to them means you don’t take their financing and get your own or pay cash. the little known secret, and don’t spread this around, this is just between you and me, is that if your a veteran you can get a regular VA mortgage, don’t take their owner financing, gte zero down and get a CASH DISCOUNT, wow…hard to beat!
Good luck, i’ve bought about five and friends have bought another 5.
David
To get comps from OCtitle.com go to their page and click on the second menu bar titled “Title Advantage!”. Then sign up for a free account. You should be able to navigate from there.