Foreclosure Deals

Bargain hunters and first-time home buyers alike almost always have questions about the value of buying foreclosed homes. Realtors have access to listings of foreclosed homes being sold at prices that are extremely competitive in today's housing market.

When realtors show potential buyers foreclosed properties, they should make every effort to convey the difficulties that a new home owner may experience once the sale is complete. If you are considering the purchase of a foreclosure property that may be too large of a commitment for your lifestyle, a good realtor will be honest and share his or her concerns with you. This is because good realtors want their clients to be happy with their purchase, and therefore try to ensure that each client is making the best decision for his or her particular circumstances.

Alaska Bank Owned ForeclosuresLogistically, the process of searching for a foreclosed home is very similar to that for any other home. Specific listing services provide information to potential buyers, and realtors receive additional information that they can share with potential buyers.

Potential buyers usually want more information about foreclosed homes than what is available. Understand that when you seek information about a home being sold through a foreclosure sale service, your realtor will probably need additional time to find the answers you need.

A foreclosure is almost always a home that was purchased by a buyer with a federally insured mortgage. The buyer then defaulted on the loan and the home went into foreclosure. Because the borrower's mortgage was federally insured, the insuring agency was required to satisfy the remaining balance of the loan, in essence buying the home from the lender.

Obviously, the government does not want or need this surplus property. Therefore, the government usually sells the property to a company which specializes in the sale of foreclosed properties. These agencies are located across the country and list thousands of homes for sale.

Some of the higher-quality homes in affluent areas are sold immediately, perhaps even before they are officially listed for sale.  This leaves average home buyers with opportunities to save a significant amount of money if and when they find a home that works well for their current situation.

Many foreclosed homes have been vacant for a long time before the listing agency places them on the market for sale. The risk of problems arising from that vacancy may leave buyers disillusioned when they finally have a chance to visit the homes they are considering.

Also, in some foreclosure situations, the previous borrower may not have maintained the home adequately and there may be missing or damaged items throughout the home. Sometimes foreclosure homes are referred to as buyer beware, because they are almost always sold as-is.

The three most common questions that realtors are asked about foreclosed properties:

1. How Can I Find a List of Foreclosures?

Stay away from companies that promise to provide you with a list of homes that you can purchase for pennies on the dollar. These companies have been known to provide sellers with lists of homes that have already sold, or lists of homes that are already available for free through realtors.

The same federal agencies that put the homes up for sale may be willing to extend financing to potential buyers. These agencies will sometimes give the buyer grant money or a low-cost second mortgage loan to be used for the repair.

The Internet is a good place to begin your search. Most reputable agencies place their listings of foreclosed properties online.

If you want to know whether additional foreclosed homes are for sale in your area, contact us. Our realtors would be more than happy to meet with you to discuss the possibilities.

2. Do I get pre-approved for a regular mortgage?  Or Am I Required to Pay Cash?
A common misunderstanding among potential buyers is that unless they are prepared to pay cash on the spot, they cannot purchase a foreclosed home. This is simply not true. Some lenders offer special loan programs aimed at borrowers who intend to buy a foreclosed home.

Lender appraisals and inspections may sometimes make it difficult to obtain a mortgage for a foreclosed home that has been damaged or is in need of significant repair. Consequently, the same federal agencies that put the homes up for sale may be willing to extend financing to potential buyers. These agencies will sometimes give the buyer grant money or a low-cost second mortgage loan to be used for the repair of the home.

In sum, you do not need to pay cash. However, you may need to borrow a specific type of mortgage loan, depending on the home's condition and price.

3. Will I save a lot by buying a foreclosed home?
Another common misconception is that foreclosed homes are priced at pennies on the dollar. Well, if you consider this phrase to mean 99 pennies on the dollar, then you may be correct. Generally, foreclosed homes are listed for sale at their approximate market value, according to the home's location and condition.

Some foreclosed homes sell for very low prices, but in most of those cases the homes were razed in order to make room for new construction. More commonly, high-priced homes in affluent areas sell for a few percentage points less than their current market value. If this is the type of deal that you are looking for, then definitely consider purchasing a foreclosed home.

A good realtor will warn you up-front that the costs associated with buying a foreclosed home can be significant. The buyer may be required to perform very costly repairs before occupying the property. Also, these buyers may be unable to take advantage of low interest-rate specials offered by lenders.

If you are considering the purchase of a foreclosure, be realistic in your expectations and prepare to expect the unexpected. Many buyers are thrilled with their home after purchase, but others are forced to complete months of costly repair work before they can move in. As long as you investigate the possible options, including the available mortgage and assistance programs, you will be an educated consumer prepared to make an educated purchase. Buying a home is often the largest investment that you will ever make, so you need to feel secure in the knowledge that you have invested wisely.

If you are interested in purchasing a foreclosure property, many realtors will offer you the benefit of their experience and expertise. Realtors normally do not work with these types of sales every day, but they do have access to information and property listings that can help you decide whether buying a foreclosed property is the right option for you.

Bank Owned Foreclosures

54 Properties Found. Showing 1-12
Sort By:
4200 Big Hill Road
Pedro Bay, AK 99647
4200 Big Hill Road Pedro Bay, AK 99647
1 of 25
$40,000 ( $63,400 )
Subdivision: Big Hill
BEDS
3
BATHS
2
SQ.FT.
1,781
BUILT
1993
ON SITE
542Days
MLS
14-17629
A rare find, property in Pedro Bay! This is a FNMA Homepath property. The home is located on 3 acres. There are additional outbuildings as well. Home offers beautiful views! This property is to...
9433 S Polaris Lane
Wasilla, AK 99623
9433 S Polaris Lane Wasilla, AK 99623
1 of 3
$44,900
Subdivision: Skyline Heights
BEDS
3
BATHS
2
SQ.FT.
492
BUILT
1970
ON SITE
15Days
MLS
17-5237
Sold As-is. Trailer with lean to and shop attached.5 day hold on any offers submitted.
25720 S Wolf Track Road
Talkeetna, AK 99676
25720 S Wolf Track Road Talkeetna, AK 99676
1 of 21
$52,500
Subdivision: Wolf Run Addn 1
BEDS
2
BATHS
1
SQ.FT.
1,104
BUILT
1981
ON SITE
15Days
MLS
17-5215
Great Opportunity! Distressed home - would need a ton of work - BUT - Five Acres with almost 1,000Sqft of shop is hard to find at this price! Large level lot - good access. 1980's ranch home -...
5330 Chalet Drive
Valdez, AK 99686
5330 Chalet Drive Valdez, AK 99686
 
$65,000 ( $5,000 )
Subdivision: Alpine Woods Estates Addn
BEDS
3
BATHS
2
SQ.FT.
2,880
BUILT
1976
ON SITE
25Days
MLS
16-16798
Price Reduced! Handyman special, great investment opportunity for owner occupy or rental property. Home just needs a little TLC.
20105 W Michelle Drive
Willow, AK 99688
20105 W Michelle Drive Willow, AK 99688
1 of 23
$65,000 ( $10,000 )
Subdivision: Deneki Meadows
BEDS
3
BATHS
2
SQ.FT.
1,344
BUILT
1977
ON SITE
15Days
MLS
17-1138
Great for a weekend get-a-way or year round living! Enjoy all that Hatcher's Pass has to offer. Home offers a unique floor plan with a large front deck for your summer enjoyment. T & G ceiling in...
22530 Christopher Circle
Ninilchik, AK 99639
22530 Christopher Circle Ninilchik, AK 99639
1 of 28
$69,900
Subdivision: Big Valley
BEDS
3
BATHS
2
SQ.FT.
1,728
BUILT
1986
ON SITE
38Days
MLS
16-12474
Private location in the country with EZ access to town.Covered front porch, & wood-stove heat.Needs some fixing to be bank finance-able. May be eligible for renovation loan after purchase. Seller is...
4651 Reka Drive
Anchorage, AK 99508
4651 Reka Drive Anchorage, AK 99508
1 of 32
$75,000
Subdivision: Greentree East Condo Association
BEDS
1
BATHS
1
SQ.FT.
546
BUILT
1982
ON SITE
16Days
MLS
17-5126
HUD condo for sale. Affordable living in this comfy 1 bedroom condo! Light colored laminate flooring in LR and a gas fireplace. Washer and dryer in condo. Secured building, extra storage, and 1...
4104 Garfield Street
Anchorage, AK 99503
4104 Garfield Street Anchorage, AK 99503
1 of 13
$77,500
Subdivision: Evergreen
BEDS
2
BATHS
1
SQ.FT.
1,072
BUILT
1952
ON SITE
2Days
MLS
17-4291
Single family home with a fenced yard. Street access to the front and back of the house. See attachment for PAS requirements and WFHM offer submittal information in MLS document section. Please...
22717 Sherman Street
Chugiak, AK 99567
22717 Sherman Street Chugiak, AK 99567
1 of 13
$81,900
Subdivision: Bear Mountain
BEDS
2
BATHS
1
SQ.FT.
931
BUILT
1983
ON SITE
22Days
MLS
17-4769
Excellent commute living opportunity! This unit offers 2 bedrooms and 1 bathroom on the lower level. Large living room. Washer/dryer hook up in unit. See attachment for PAS requirements and WFHM...
223 Kody Drive
Fairbanks, AK 99701
223 Kody Drive Fairbanks, AK 99701
 
$85,000
Subdivision: Slater BN
BEDS
3
BATHS
1
SQ.FT.
1,284
BUILT
1955
ON SITE
8Days
MLS
17-5663
Property being sold AS-IS. Great location, very desirable, close to downtown.
102 Antoinette Avenue
Fairbanks, AK 99701
102 Antoinette Avenue Fairbanks, AK 99701
1 of 8
$92,000
Subdivision: Lemeta
BEDS
3
BATHS
1
SQ.FT.
1,200
BUILT
1962
ON SITE
35Days
MLS
17-3967
3 bedroom ranch home on a corner lot in Lemeta. There is also a one car garage and a large utility room/laundry and a shed. This is a greatlocation close to schools and shopping, the University and...
301 Portlock Street
Kenai, AK 99611
301 Portlock Street Kenai, AK 99611
1 of 22
$92,500 ( $7,500 )
Subdivision: Central Heights
BEDS
3
BATHS
1
SQ.FT.
1,106
BUILT
1999
ON SITE
45Days
MLS
17-3428
Priced to sell!!! In the heart of Kenai on maintained road near Kenai River. Great starter home once it gets all fixed up. Private yard. May qualify for a rehab conventional loan. BTV all information
The listing content relating to real estate for sale on this website comes in part from the IDX Program of Alaska Multiple Listing Service, Inc. (AK MLS). Real estate listings held by brokerage firms other than Madden Real Estate, LLC are marked with either the listing brokerage's logo or the AK MLS logo and information about them includes the name of the listing brokerage. All information is deemed reliable but is not guaranteed and should be independently verified for accuracy.

Listing information was last updated on: 4/27/2017

Top