If you are in the market for a home in Connecticut, consider a foreclosure. Whether you are an investor or first-time buyer, there may be a foreclosure to suit your needs. While foreclosures are attractive options for many buyers, some research is required before buying. In addition to locating a Connecticut foreclosure, you will need to inspect the property and determine if, with repairs, it's a good deal for you.
Instructions
Buy a Home Through an Auction
1. Locate foreclosure auctions. To view pending foreclosures by city, visit the state of Connecticut Judicial Branch website. Click on the property for detailed information.
2. Obtain foreclosure sale information. Most Connecticut foreclosure auctions are held at the foreclosure property. Write down the property address, time and date of the auction. In Connecticut, a court-appointed committee handles the foreclosure sale. The committee is typically comprised of several attorneys. The committee's contact information is also listed.
3. Submit funds required to register to participate in the auction. Depending on the committee's rules, you may need to pay a fee to register.
4. View the property. Although many properties a viewing period is offered for many properties, it is not mandatory. Try to view the property with an inspector and contractor to assess damage and repair costs.
5. Search for liens if you are buying a foreclosure at auction. If you are the highest bidder on the Connecticut property, you assume ownership. Any liens on the property become your responsibility. You can contact the local courthouse or tax assessor's office for lien information. Be prepared to provide the property address and owner information.
6. Attend the auction. The home is sold to the highest bidder. Your registration fee is usually applied to the down payment.
7. Go to your local recording office. You will need to file the deed to claim ownership of the property.
Buy a Bank-Owned Foreclosure
8. Locate bank-owned properties. If the home does not sell for at least what's owed at auction, ownership reverts back to the bank. Bank-owned homes are also referred to as REO properties. You can contact a real estate agent for a list of properties in your desired area. Banks often provide lists of their REO properties free of charge. For example, Bank of America allows you to search for Connecticut foreclosures through its website.
9. View the property. Contact a real estate agent to schedule a time to view the property. The majority of Connecticut foreclosures are sold as-is, meaning the bank will not make any repairs or offer any warranties.
10. Hire an inspector. If you are seriously considering a Connecticut property, hire an inspector to assess any damage or repairs needed. You may also want to have a contractor view the property and provide an estimate for the cost of repairs and renovations.
11. Search the title. Go to the local courthouse or tax assessor's office and provide the property address to obtain title information. You can also hire a title company to perform a full, insured title search.
12. Obtain funding. Before you can make an offer on the home, you will need to provide proof of adequate funding. You can either provide a pre-approval letter from a lender or your bank statements.
13. Make an offer. When determining your offer amount, consider the average sale price in the neighborhood, the condition of the home and cost of repairs. An agent can write up a purchase contract for you.
14. Submit the offer along with a deposit. The bank may accept the offer or respond with a counter-offer. You can counter the counter-offer if you choose. Once you agree on the price, a closing date will be scheduled.
15. Attend the closing. On the day of the closing, you will sign mortgage documents or pay in cash. The new deed with be recorded.
Tags: property address, will need, assess damage, assessor office, Connecticut foreclosure
