Buying a Foreclosure in Cape Coral, Florida

So you want to purchase a property in foreclosure here, in Lee
County in general and in Cape Coral in particular? Good move. It's
time to buy. Properties values are increasing little by little, month
after month since spring 2010 and you can expect a sweet equity very
soon, especially if your purchase a Cape Coral foreclosure.However,
lots of potential buyers I talked to believe that if a foreclosure is
price at, let's say, $100,000, they can offer 10% or 20% less than the
asking price, empowered by a solid down payment, and thinking that
after all, it's foreclosure time for everyone.Well, the reality is not
as simple.So far, 100% of my buyers who actually were successful at
purchasing a foreclosure, paid more than asking price. And, all of
them learnt how to get that property after several offers. Some below
asking, where they were outbid. A few at asking price, where they were
outbid. And finally their own purchase, paid at higher than asking
price, like everybody else.So, contact me if you want to purchase a
foreclosure in Lee County, but make sure to be ready:1) Get your
Pre-approval documentA foreclosure's owner is a bank or sometimes a
person or a company who made a private financing for the buyer. You
will most likely make an offer to a bank though. Banks are not in the
Real Estate business but in the money business. Therefore, they don't
want to waste any time and want to make sure that the next buyer is
fully capable of buying. They will not review your offer if there is
not a pre-approval document, signed by your bank or mortgage broker
even if your offer is twice their asking price. A pre-qualification
will not help. Just get your pre-approval in hand.2) Get your proof of
fund for the down payment.Most banks, if not all of them, required a
proof of fund for your down payment or if you plan to pay in cash. If
the bank can't see a proof that you have the money, they will not sign
your offer. Period.3) Be prepare to offer a price HIGHER than the
asking price.For this one, you will have a hard time to believe me.
Fair enough. But know right now that 95% of the time, your below
asking price or even your asking price offer will not fly. I have seen
attractive foreclosed homes sold with an easy 15% higher than asking
price. So be prepared.Now, don't make me wrong. Ultimately, you will
be the buyer, the one who will pay and with the last word. But then
again, you'll be entering in the club of the buyers who need a proof
of what I'm saying here.