More and more prospective home buyers are using foreclosure home listings in Canada today. This can be linked to the fact that people are becoming more aware about the advantages of acquiring a foreclosed real estate property over buying a newly constructed one. CMHC has identified Calgary, Alberta, and Toronto as some of the areas in Canada with a highly active foreclosure market for 2016. Real estate experts predict that for 2017, the same trend will be observed.
The availability of online foreclosure home listings in Canada has created a power shift in favor of home buyers. When used in the right way, it allows them to acquire some of the best foreclosed properties on the market below the advertised market price. It is possible to get as much as 50% discount on a home’s value if a bank or lender is in a hurry to sell the property. However, these things will be possible only if a home buyer knows his or her way around these listings.
Those who are planning to find and use these foreclosure listings should be reminded of the following:
• Research and understand the benefits and risks of buying a foreclosed home. Some home buyers easily fall prey to some advertising traps saying they could save thousands of dollars when buying foreclosed homes. While this may be true, there are risks to consider like structural damage to the property, neighborhood issues, and others.
• Set realistic expectations about the home one aims to own. Images shown on listing sites may have been just digitally enhanced or taken a few years back when the house was still new. It is good to think that there is always a catch for the low price tag that comes with the house on the foreclosure list.
• Get a mortgage pre-approval. Funding the purchase of a foreclosed home can be heavy on the pockets of a buyer. It would be a good idea to let the lender know that the proceeds of the loan are meant for a foreclosure purchase. This way, proper adjustments on principal, terms, and rates can be applied. It will also ensure that a buyer will have the means to acquire the home right away if there are competitive offers for it.
• Enough time must be given to the selection of a foreclosure listing provider. The Canadian online domain is full of websites that claim to have the best listings. A buyer must ask around, read reviews and testimonials, and explore what each site could offer before making a decision.
• The correct process of home foreclosure shopping must be followed: Some banks or lenders who publish their properties on these lists would sometimes be willing to deviate from the usual process of purchase. This might be because they are in a hurry to get rid of the property on hand. While such a thing can really speed up the process of home ownership for buyers, the risk of potential problems arising will be high.
Foreclosure home listings in Canada are great tools for those who wish to own a home for less. However, buyers should be very wise when trying to find and use the services of a specific provider.
ForeclosureSearch.ca offers its members full access to our extensive list of properties-on-sale and other real estate information such as foreclosures, bank-owned property, government-owned homes, auctions, and tax sales listings. For more information, visit http://www.foreclosuresearch.ca