4 replies to this topic

[alibaba77]

Realistically speaking, how low of an offer should I make on a Freddie Mac foreclosure and expect to get a real response? The house (listed in the ~$300k range) has been on the market for 10 days but based on all the other Freddie Mac and Fannie Mae foreclosures on this area at this price range, they're on the market for months and months. I'm not really in a hurry so I have time to watch but you know how an itchy trigger finger can be once you get your credit prepped for the goal you've been working for.

Thanks for your advice!!!

[snowpuppy]

Your county real estate tax office will have the information on how much this property was sold for at foreclosure.

You can look at recent solds in the same area to see if there are any comps. Price per sq ft is a good starting point but don't forget to adjust for property condition. Some foreclosures are completely gutted and you can't compare prices with a property in good condition.

In my area the prices for Fannie Mae Homepath properties are very high. Then they're reduced about every 2-4 weeks.

[alibaba77]

Your county real estate tax office will have the information on how much this property was sold for at foreclosure.

You can look at recent solds in the same area to see if there are any comps. Price per sq ft is a good starting point but don't forget to adjust for property condition. Some foreclosures are completely gutted and you can't compare prices with a property in good condition.

In my area the prices for Fannie Mae Homepath properties are very high. Then they're reduced about every 2-4 weeks.

Sorry, I'm not following you when you say sold at foreclosure. It hasn't sold yet, right? It's still on the market and listed with Freddie Mac. I don't think I fully understand the foreclosure process because I did find a public notice where it was to be auctioned several months ago. Does this mean that no one bought it at auction if it's listed on Freddie Mac's site?

Thanks!

[snowpuppy]

Your county real estate tax office will have the information on how much this property was sold for at foreclosure.

You can look at recent solds in the same area to see if there are any comps. Price per sq ft is a good starting point but don't forget to adjust for property condition. Some foreclosures are completely gutted and you can't compare prices with a property in good condition.

In my area the prices for Fannie Mae Homepath properties are very high. Then they're reduced about every 2-4 weeks.

Sorry, I'm not following you when you say sold at foreclosure. It hasn't sold yet, right? It's still on the market and listed with Freddie Mac. I don't think I fully understand the foreclosure process because I did find a public notice where it was to be auctioned several months ago. Does this mean that no one bought it at auction if it's listed on Freddie Mac's site?

Thanks!

It is a foreclosure. The notice that you saw is a notice to the owner as well as the general public and any others who have claims on the property that it will be sold.

Different states have different foreclosure processes but in the end, Freddie guaranteed the original loan. The loan went into default and Freddie paid the lender because they guaranteed the loan. Now Freddie wants as much $ as they can recover.

[alibaba77]

Your county real estate tax office will have the information on how much this property was sold for at foreclosure.

Ahh... so what you mean by the above statement is how much did Freddie lose on the guarantee or how much did Freddie end up holding once it was foreclosed?