Inspections on Foreclosed Homes

Image of a forclosed home.

In today’s housing market there are many properties for sale by banks, lenders or corporations. Many investors are looking towards these types of properties as good long term investments. In order to understand if the property is a good investment or a “money pit” it is extremely important to have the property inspected to prevent buying someone else’s liability. An inspection prior to making an offer an a foreclosure property is also important due to the property’s “As Is” Condition.  Additional costs may occur in order to ensure the property’s systems are in operational condition.

What can you expect to find?
Anything and everything

Most of the damage is incurred just before they vacate and in most cases is very visible with drywall holes from punching or kicking to the more serious damage which cannot be seen by an untrained eye. 

Very often at the time of your viewing, the essential utilities may have been switched off because of non-payment of bills. This means you cannot check to see if the most important features (water, electricity, A/C, plumbing, heating, appliances, pool, spa, security system, etc.) work correctly. It is imperative that before you part with any money that you arrange with the appropriate companies to arrange to have the services switched on for a minimal period for testing.

Many vacate the property with no problems but there is an increasing number who are angry with the situation they have found themselves in and turn to the property to get some sort of revenge or satisfaction resulting in damage. It is extremely important when considering purchasing a foreclosed property that a full home inspection is carried out to the highest degree. The foreclosed property will be offered for sale in an “As Is” condition, this means what you see is what you get including all the hidden defects and damage. If you purchase a foreclosed property without a home inspection you will assume all the risk and liability upon closing the deal.