Why Should We Buy Houses in Houston that are Real Estate Owned?

Buying homes is a trickier affair than selling them because one has to trust lot of strangers in generally and a lot of considerations are to be made. Making someone else’s creation one’s own requires a lot of considerations, even if the deal seems lucrative, hence, one should always be cautious about the properties they buy and from whom they buy it.

Houston, Texas is the fourth most populous city in the States and has a booming economy in recent times; hence the demand for good properties for both residential and commercial properties is very high. Good plots do not last for long in Huston and though it is a big city, the demand for good plots never falls. As such, real estate owned (REO) properties seem to be a lucrative option if we buy houses in Houston. When banks receive property deeds to homes through foreclosure, it’s because no one showed up on the courthouse steps to bid the minimum amount of the existing mortgage(s).

On the surface, it might not sound as though foreclosures are profitable, especially if the bank wants to sell its inventory on the open market for the amount that was once owed to the bank by the previous mortgagor. However, there are many reasons why REO can be lucrative.

Firstly, such properties become a liability for banks since they have to be maintained and sitting on inventories for a long time is also not a wise decision. If we buy homes in Houston which are real estate owned, we can get it from banks for much less, since they too would like to get rid of it. Also, to attract buyers and agents, many banks offer a greater percentage to agent selling them instead of the bank’s agent.

Negotiating the purchase price of a foreclosed home may take a little longer than a typical real estate transaction because the process may require multiple levels of approval. First, the bank will have to approve the offer. In some cases, an investor may own the property and will have to provide approval as well.

Pricing for a foreclosed home is typically set at market value in an effort to move the property quickly and can be acquired either through a real estate agent or an auction. Hence buying homes in Houston needs to be done judiciously and one should be prepared in advance.

One should always know that banks do not have a good knowledge about the homes they have foreclosed prior to their attainment, hence there are no records of property repairs necessary or the maintenance required. This means that there are several others costs that one may have to bear after buying of the house including repairs or documentation. Having an experienced and professional agent having expertise in REO properties can help you acquire properties faster and help you judge if a property is worth its value or not. Thus, if caution is taken, one can easily find good REO properties at a bargain in Houston.

How to Avoid Foreclosure in Houston in Time Repossess Your Homes

Foreclosures happen when debtors repeatedly miss payments and the creditors lose all hope of recovering the outstanding amount. This is the lawful procedure that lenders can use to take over homes of defaulters. When this happens, creditors must move out of your house. If the property is worth less than the total amount owed on mortgage loan, a deficiency judgment could be pursued. If that happens, you not only lose your home, you also would owe HUD an additional amount. Both foreclosures and deficiency judgments could seriously affect your ability to qualify for credit in the future but in spite of that every class in every school in the US has at least one student whose parents are/have been in this situation.

The problem is challenging and is attributed mostly to an average American’s poor saving habits along with unplanned spending. For people in foreclosure, it become very difficult to make both ends meet, they have to circle around courts, banks and lawyers all the time. Hence the knowledge of how to avoid foreclosure in their state is extremely crucial to them and can often help them in saving their homes or gathering the outstanding amount.

There are several quarters that people go to for help at this time, oblivious of the fact that many of them can rip them off without providing any substantial help to their cause. Lawyers and foreclosure-prevention companies are the people that defaulters go to usually. While both of them charge a hefty fee, the former tries to find a legal solution and the latter tries to negotiate with lenders. Hence, if you are willing to pay for averting this calamity, it is best to consult a good lawyer or else an HUD approved Housing councilor.

In present times, Houston has become a hotspot for the occurrence of foreclosures. Many of its residents fear losing their house to banks and wonder how to avoid public foreclosure in Houston since it is considered to be a big social stigma and a cause for great embarrassment for homeowners losing the very place that they have lived in for several years.

While in foreclosures, defaulters have several options before them, which if they use judiciously, can help them in dodging foreclosures. One of the elementary mistakes that such people commit which puts them in trouble’s way is avoiding the calls of creditors. Creditors then have no options before them except filing a Notice of Default, which might be preceded by a letter for the breach of contract. The contract breach letter can be considered to be a final wakeup call as it consists of detailed information on the outstanding amount they are supposed to pay and what debtors can do to repay them.

A short sale is also a good option for houses in pre-foreclosure which helps in the quick sale of the house, through realty investors of short sale experts, giving you enough money to stop foreclosures now and have enough money left to move on towards a new life.

Your Personal Guide for Avoiding Public Foreclosure in Houston

There is no magical way for avoiding foreclosure and do not let anyone tell you otherwise. There are several people who have turned this calamity into their way of business and extracting money from people who are already in distress.

Foreclosures frequently occur in the US as people tend to miss their monthly EMIs or clear their outstanding with their bank, lender or mortgage holder. This results in the lending parties becoming worried and tries to get in contact with the borrower to get back the amount. They are contacted either by phone or mail and informed that they are behind payments.

One missing payment missed forgetfully does not however lead to property foreclosure. When people are behind payments for a day or week, there is generally a small fine charged to them additionally. However, when such payments are being missed repeatedly and borrowers fail to co-operate, lenders are forced to take strict actions against them. This can begin with a simple ‘letter of breach’ suggesting that they have breached their contract. This is also considered to be a demand letter in which borrowers ask lenders for the money they owe, the action which they need to perform, the timeline allotted to them for repayment and the consequences if they do not comply.

The Notice of default is the final nail on the coffin which formally begins the legal foreclosure process and is used if all other methods of recovery fail to have any effect. Once foreclosure is filed against a defaulter, their credit ratings fall and the countdown begins. In Texas, the time allotted is usually 120 days before the house is snatched away from them and this is their only window of opportunity to save their homes.

People in this situation are nervous, ashamed and feel very insecure but are bombarded with many types of suggestions from arbitrary bodies. Many of these occurrences can be seen in Houston, where people under foreclosures are often scammed and cheated by capricious agencies under the pretext of helping them in avoiding foreclosure in Houston.

However, many new laws are being made to protect the interests of both lenders and borrowers in the US today. The HUD is in charge of foreclosure laws and gives affiliations to housing councilors who are officially authorized to negotiate between borrowers and lenders.

There are also several property lawyers who can advice you on how to avoid public foreclosure and regain your property. These lawyers can help fight your case on your behalf, grant you more time and help you avert this calamity. Another good way of saving your house from foreclosures is by negotiating with the borrower. This process has to be done within the time allotted and you can also convince lenders to delay the payment process or spread they payment over a longer period of time, allowing smaller monthly charges.

A short sale can also help you in foreclosure by selling your house fast and helping you get enough money to both sustain a life and pay the total outstanding. Thus, with the right guidance and vigilance you can easily stop foreclosures now.

How Realtors’ Process is Different from the Way We Buy Houses in Houston

The realty situation in Houston in the past few years has been promising. After the recession period, people again are very interested in buying realty in the city. Houston also is the fourth most populous city in USA and the only one without any formal zoning regulations and city’s land use has also been credited with having significant affordable housing for all.

The above factors make it a hotspot for real estate companies and a great investment opportunity. For the past couple of years, Houston has also been ranked among the top cities creating the highest employment figures in America. This means more money in the common man’s hand and more migrants who come and settle here. Hence, good realty is always in great demand in the city.

Realtors prefer both empty plots and houses in the city; however having a readymade house is very helpful for reselling to others. Hence there are a lot of investors looking to buy real estate even at locations which are not otherwise popular. The process of their evaluation and purchasing however is completely different from the procedure with which we buy houses in Houston.

Realty investors often plan years ahead and choose properties which have a greater potential for price rise. Thus, they keep looking for properties which are more than what meets the eye. Only a good jeweler can understand the value of precious stones, even if they are covered in mud, realty investors in Houston always manage to find out the best properties.

Properties undergoing foreclosures are a big boon for such investors as they can get good properties at very reasonable prices. The owner of such a house is already under much pressure of paying his/her outstanding, failing which the house will be taken away by the lender/bank. In such a scenario people usually decrease the price of their dwellings to get customers to buy them within the short span of time allotted to them for paying the money back. Given the pace at how we buy houses (after careful consideration and evaluation), such individuals have a higher chance of buying these properties as the people selling their properties are in a hurry and often resort to short sales for buying properties which otherwise could be sold at premium prices. People having outstanding debts prefer short sales because they are fast and some investors pay good prices and that too in cash; all after evaluating the land and its history along with the paperwork.

Even if their properties go into foreclosures, investors get another shot at those houses, which are sold by courts, only to give back the sale proceeds back to the lenders. Thus buying homes in Houston for these investors continues with foreclosed properties as well. Realty investors do not do all the work on their own but are assisted by a string of agents who shortlist the best properties for them across town. They are also helped by property consultants who tell them about the best places to buy these properties.

How we buy houses in Houston as compared to local realty investors

Investment in real estate is both tricky and profitable at the same time for it involves both great risk and greater returns. Investors therefore predict or try to estimate the future costs of realty based on current trends and fiscal projections.

Hence, their way of purchasing property is entirely different from how we buy houses normally. Investors generally have contacts all around a place who give them ideas on good properties which could be lucrative investments in the future. The investors then try to evaluate the present cost of the plot or house and make a calculation of ‘costs versus revenue generated’ before making a purchase. Additionally, the documents of propriety, the neighborhood and its history is also checked before making an investment.

Some investors know that they might not be able to make good use of the house from years but still buy them anyway to rent them to others meanwhile. Hence a lot of planning and execution goes into the buying of houses in an area.

Realty investors are always eager for a good investment which would provide good returns in the future and foreclosed properties always top their list due to many reasons. When we talk of good investment opportunities in the States, Houston surely comes to mind for it is growing at a fast pace and due to the end of economic slowdown; the ever-buzzing city is again becoming prosperous. Moreover, since almost 12% of all its houses are always up for sale due to foreclosure or people relocating, investors consider it a great outlay opportunity and there are several good motivations behind it.

Firstly, the owners of houses in foreclosure are always in a hurry to sell their house before it is foreclosed and secondly, they can be availed at a good bargain since sellers use this tactic frequently for the quick sale of their house. The modus operandi of their purchases are however very different form how we buy houses in Houston. They go directly to buyers, bid in short sales or go through realty investors to get their preferred property.

Buying/selling of properties is a time-consuming affair but for investors; time is money. Therefore they try their best to minimize time in formalities and sometimes pay in cash to get houses quickly. They also rush while buying homes in Houston because good homes in a good locality are hard to come by and can be snatched away from them by their competitors. Therefore prefer to be anonymous till the deal is made.

Selling homes to investors also helps people in a hurry to sell their house or nearing foreclosures to channel away their burden and get a good price for it without much fuss. Some even pay in cash, which is particularly beneficial to people in foreclosures to repay their outstanding loans. Also, it saves them the trouble of going through real estate agents who take a good ‘cut’ of the total amount as their brokerage fee which can be quite burdensome for someone already in financial distress.

How to avoid foreclosure now and recover your house

One of the worst things that can happen to a family or an individual is their home been taken away from them. The roof over their heads is snatched away and they are left in crisis, still wondering what happened to them and giving them no time react.

Foreclosures don’t come with a prior warning and when you receive a legal notice from a court giving you just a few days to come up with a huge sum, the ground under your feet quickly slips away. Also, they generally hit you when you are just about to go broke, hence there is very little that you can do to avert it. You also begin to realize your previous mistakes and what you could have done to make them right, but now it is too late for that and you need to start thinking how to stop foreclosure now.

The first step to fight something is to gain more insights about it; therefore your primary objective should be to know what foreclosure is and how you fell into it before thinking about how to stop it. Knowledge is power and the more equipped you are with knowledge about the foreclosure process, the better are your chances are to fight it with all your might.

At such a tricky time, a lot of money is needed to hire a good lawyer to fight your case, the money which is more difficult to arrange as you are already in foreclosure and your credit rating points are lowered. However, the internet can be of great help in this case and allow you to know useful facts about the laws in your state and the options available to you.

Houston, Texas, for example, allows only sixty days of time limit to lenders to return the money to the lenders, failing which, you house is sealed and your case goes into court. Although, there are many law firms, housing councilors and short sale experts always ready to guide you and advice you on the best ways of avoiding foreclosure in Houston, people might still be clueless about what the best or the safest step do so is, since there are many property scams every day in the US.

There are also some fraudulent lenders who lend money knowing that the borrower has a very less chance of repaying them and hence the house is grasped away by them. Sadly, some elderly or less-educated people who have no idea how to avoid foreclosures readily fall into the traps of predatory lenders and lose the roof over their heads forever.

The best way to avoid possible foreclosures in the future however is quite simple. The trick is never to miss payments and even if you do, you should let the lender know your problem and cite reason. It might be due to emergency or forgetfulness, but maintaining a healthy dialogue with your lender is very important. Avoiding the lender when you are unable to repay the money only scares the lender and forces them to take legal steps.

Being aware of how to stop foreclosure in Houston, Texas can help both you and your loved ones

Foreclosure is a very sensitive topic anywhere, on one hand it is a basis of business and livelihood for many, and it provides cheap and affordable homes to many new settlers, while on the other hand it also takes away the roof above the head of loan-defaulters and their families.

If you are on the receiving end of foreclosure process, things many turn out to be quite dark for you. You may lose all your money, your house and even your family’s trust in you. Foreclosure happens when you are able to make the payments that are due for a considerably long time or start avoiding calls from your lender or bank. The bank then files a ‘notice of default’ against you and a timeframe is generally offered to you, under which, if you do not make clear the payments, your property is sealed by the banks.

It is not that all properties that go into foreclosure are taken way by the government; you can fight a case against the lender or can even state the reason for your inability to pay the sum in time. The court has to then decide what they want to do with your property. Till foreclosure actually happens, you have a lot of options before you to redeem yourself and get your property back in time. However, due to the sudden nature of foreclosure, it can hit you like a storm and take away everything you possess in a flash. Also, they generally occur during your worst financial crisis, hence if do not react quickly things can go horribly out of hand. Hence, it is important that you know enough about the foreclosure process to take some action to avoid or at least delay it.

Many foreclosure laws have been made to protect the interest of lenders and help them get back their money to avoid excess bad debts .It also helps to punish defaulters who serially miss payments or escape them, putting lenders into trouble .America is a big country and every state has its own separate law structure. Hence to avoid foreclosure process one must know the laws of the area that they are residing in.

Houston, Texas, for example has many different laws to safeguard both the interests of defaulters and lenders and also for some notorious individuals aiming to earn a quick buck by scamming people at their worst financial phase. However, there are several ways in which you can find out about how to stop foreclosure in Houston, Texas.

The internet can be of great help in this direction as there are several guidelines present there on the dos and don’ts in such a situation. There are also some expert property lawyers providing quality advice on the same.

Consulting a property consultant to negotiate your case with the lender is also a good idea for averting foreclosure in Houston.  S/he can negotiate the case with the lender for you and get to a win-win situation for both.

Thus, stopping foreclosure is easy if you know more about it and abide by the laws.

Having the right approach to avoiding foreclosure in Houston

Foreclosures happen due many reasons thought the main reason for their occurrences is ignorance. It is not difficult for a rational person to avoid this great calamity which threatens to take away the roof above the heads of both him and his/her family if s/he is well-informed and a little bit responsible. Yet, there have been over three million foreclosures happening in the US in the past few years.

Foreclosures in the US or anywhere else are not a pretty scene. People are left homeless after such procedures and often take a lifetime to bounce back to normal life again. Hence, there are two quotes that come to mind in this regard:

• “Prevention is better than cure”
• And the very famous –“A stitch in Time saves nine”

Their meaning in the context of foreclosures is both valid and appropriate in case of avoid foreclosures. Timely payment and keeping in touch with the lender ensures that s/he does not file the much dreaded “Notice of Default” against you. The borrower must remember that the lender is also a normal person and if faced with a crisis, they are bound to take some legal action. When payments, mortgages or EMIs are on time, lenders do not worry unnecessarily, but when payments are missed repeatedly and worse when borrowers decide to avoid their calls, lenders start panicking and are forced to take legal steps.

Hence, if you do not want the foreclosure of your property in the future, you should never miss any payment schedules and plan your finances (in advance) accordingly. Even when facing foreclosure head-on, maintaining a healthy dialogue with the lender/bank can give you an extension if nor an exemption from foreclosure itself. Maintaining a property lawyer when you are almost broke can be hard on you, hence making timely disbursements to loaners will actually save you more money in the long run.

The foreclosure situation in Houston is one of the worst in USA, with a population of more than two million, the city it still has 14 % of its homes vacant, a major share of them coming from foreclosures. Also at any given time, there are more than two to three thousand homes in some stage of foreclosure. That is why; several law firms and housing agencies have setting up in the city to make people aware about the ways of avoiding foreclosure in Houston.

Law firms, when employed assist you to fight your case and provide you the best alternatives to safeguard your home while a housing councilor can deal with the lender on your behalf and get to an amicable solution with them.

Suggestions on how to avoid public foreclosure in Houston are also readily available on the internet and might come handy when you are penniless and cannot afford a lawyer. You may choose to fight your own case with the instructions and also read about the new laws that are made every year to safeguard the interests of house-owners.

To gain money instantly at a moment of crisis, individuals often take more loans which worsen their credit points. The best option in that case is to sell off their belongings like (cars, houses, bonds) to quickly gather the money needed.  If facing such a situation, it is prudent to sell your house first, as it takes considerably more time than any other belongings. For aiding people in such critical situations, there are several real-estate companies to help you sell your house fast. They buy houses instantly and pay via cash, no matter what the condition of the property is; thus enabling you to stop foreclosure on your own.