Spellings Real Estate – Bev Spellings (Lisc #00227596) & Brooks Spellings (Lisc #326311)

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Buying A Home After Foreclosure – Real Property Value

“Are you considering buying a home after foreclosure? With the market being what it is today, if you have the time and the money to invest, it could end up being a wise decision to pursue this route. Make sure you learn about how to research the best properties and get help when necessary so you end up buying a bargain, and not a lemon.

Your first step is to decide in what stage of the foreclosure process you want to buy. The general options include pre-foreclosure, sheriff’s auction, and the repossession stage (referred to as REO which stands for Real Estate Owned by the bank). Buying a home after foreclosure would, of course, exclude the pre-foreclosure option.

Bank-owned properties are generally considered the safest ways to go, so they are ideal if you are new to the foreclosure buying. Sheriff’s auctions usually sell the lowest priced houses, but you need to have some experience or expertise in order to get the good end of the stick on these. In these cases, the houses are usually not available for inspection, so it’s easy to pay a lot more in the end than what you thought you would have to pay for repairs.

A repossession takes place when the house was not sold at the auction, so the bank gets it back. You will most likely not get the best deals at this stage, but at least you will get a clear title and an inspection so you won’t be surprised by any unexpected expenses, minimizing costly surprises. The other benefit is that the lenders who sell these homes may have already made some repairs and can also offer good financing terms. While these are safer bets, the houses are still often sold in “as-is” condition. But they may be willing to pay for some of the repairs that are deemed necessary after the inspection is performed. Another advantage is that these types of deals can go through much faster.

The importance of the home inspection cannot be over-emphasized. Make sure that you take someone with you that you can trust to give you the full picture. Never underestimate the costs involved in repairing a house. In fact, you should add in at least 10 percent of a cushion for extra repairs over what is estimated.

A good tips is also to buy foreclosures in areas that do not have many other foreclosures. These types of areas will only lead to a decrease in the market value of the home that you buy. Another tip is to make sure you are sure to get financing. You need to be pre-approved in order to move quickly. Also, keep in mind that being pre-qualified is not the same as being pre-approved. Pre-qualified is a step in the right direction but more work needs to be done in order to get you pre-approved for buying a home after foreclosure.”

By: Beverly & Brooks Spellings

Beverly Spellings Beverly’s parents lived in the same home for more than 50 years. When she began the search for her first home she not only found a place to call home, but a life-time career and passion. Beverly expects to sell around 1,000 homes by the time she passes her business on to her daughter and business partner Brooks. She would be honored to get the chance to make one of those your home. • Bachelor of Science, University of Tennessee • Joined Greater Nashville Association of Realtors, 1995 • Elected to GNAR Board of Directors in 2013 • Licensed Broker • Active in Tennessee Association of Realtors, National Association of Realtors, and Greater • Nashville Association of Realtors • Leadership GNAR 2002 • Greater Nashville Association of Realtors Awards of Excellence, 2001, 2002, 2003, 2004 • Awards of Excellence, Life Membership, Greater Nashville Association of Realtors, 2005 - 2007, 2012, 2014 & 2015 • Chaplain, Greater Nashville Association of Realtors, 2004 • Active member Christ Presbyterian Church, loyal fan of University of Tennessee, and enjoying her best role as Grandmother to Martha Ainsley and John Calvin • Involved in relocating many clients to Middle Tennessee area • Works closely with President/Managing Broker of Worth Properties who has extensive relocation experience Brooks Spellings Brooks is a native Nashvillian who has recently moved back after 7 years in New York. Her love of Nashville brought her back and quickly led to a new career at Worth Properties. Brooks looks forward to building Spellings Real Estate with her mother, Beverly, who has over 30 years’ experience in the industry - over 15 years in the Middle Tennessee area. Brooks' Background: • Bachelor of Science, Bachelor of Arts - University of Tennessee, Knoxville • 2005-2011 New York City - sales and marketing professional at national publications Cooking Light and Better Homes and Gardens • Avid traveler - over 20 countries lived in or visited • Nashville Association of Realtors, Tennessee Association of Realtors, and National Association of Realtors - 2013 • Affiliate Broker Brooks' is an enthusiastic East Nashville resident active in East-side events, resulting in friendships in the neighborhood and with owners and/or employees at local businesses including: • Historic East Nashville Merchants Association • Edley's BBQ on Main Street • Rumours East on Woodland Street • Fat Bottom Brewing Company on Main Street • Jackalope Brewing Company on 8th Avenue • Margot Café on Woodland Street • Bayberry Moon Productions on Woodland Street • Catholic Charities on 6th Street

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