Rather than write my own piece on this topic, I thought I’d share Tara-Nicholle Nelson’s well-written article called 5 MORE Foreclosure Myths – BUSTED!. Here are the key points.
Myth #1: Foreclosure happens fast.
Myth #2: Buyers can’t get clear title or title insurance on foreclosed homes.
Myth #3: Buyers should wait for the shadow inventory to be released.
Myth #4: If you’re looking for a deal, you’re looking for a foreclosure.
Myth #5: Having a foreclosure on your credit history means it’ll take years and years before you can buy again.
All are completely valid points but Myth #3 should be noted. Why would a bank put more homes on the market when it’s already saturated with a large amount of inventory, while at the same time understanding that eventually prices will move upward and those properties will sell for more.
Myth #5 is the one that fools most people. Overall, it’s a smart piece and worth your time.
