Getting a good deal on REO (Real Estate Owned) home can definitely happen but don’t over look these mistakes when buying a foreclosure in Minnesota.
Buying a foreclosure in an area that is populated with bank owned property is a surefire signal that prices could be held down for years to come. Just because it appears to be a steal at the price, doesn’t mean it is a good buy. You can tell a lot by the neighborhood surroundings.
Don’t forget that there is still shadow inventory waiting and which hopefully won’t flood the market with more inventory.
Even though banks seem to pricing properties to induce multiple offers, there are still bank owned homes around the Twin Cities that are way over priced. Get a thorough understanding of what is happening with home prices in the subject location. Have you agent (like me 
) do a complete market analysis, not one of these quick thi
Another common mistake overlooked is under estimating the cost of repairs. A good chunk of foreclosed property in the metro require a deep pocket book. Before you write the offer, get a solid idea of what needs priority repairs. Some stuff might be able to wait until you get settled in. But you might want to make sure appliances are in proper working condition along with other major mechanicals. Get some bids as well, it doesn’t hurt.
Any other commonly overlooked mistakes that need to be added?
