Why would a bank-owned property require a cash-only purchase? What are they not telling us?

Answers:4   |   LastUpdateAt:2012-09-09 23:57:05  

Question
Bobby Joe
Asked at 2012-08-23 12:34:04
We are pre -approved for a conventional mortgage , but interested in buying a house that has been foreclosed and is owned by the lender . They insist on a cash purchase only. The price is substantially lower than the market value and the house has some problems, but still a bargain , we ... Besides home inspections and tax records , what questions should we be doing ?
Answer1TracieAnswered at 2012-08-23 17:30:22
Well first of all I've never heard of a "CASH ONLY WANT LENDER " If it is really a lender must ask why is not yet financed by that house ! Do not make a difference if you are giving a lot in it or not ( Equal Housing Lender ) .
Answer2jillybeanAnswered at 2012-09-01 15:43:03
A cash contract actually just means your purchase offer may not be revoked because they did not get funding . An offer subject to mortgage financing means you can cancel the contract and get your deposit if you do not get a mortgage . As always you can get a mortgage broker to say they were rejected , these deals are easily contingent out . MedlinePlus MedlinePlus The owner of the bank is well aware of this and want only the strong deals where you will lose your deposit if you do not close . MedlinePlus MedlinePlus Make sure you have an inspection done. I get to cancel the contract until the statute of limitations is up . Title insurance will protect you from liens . Call your water department for delinquent accounts , and with the application of open code violations .
Answer3amiAnswered at 2012-09-08 16:50:02
Search titles ! It can be a second mortgage from another lender and other liens on the property ..
Answer4^/^ (8) ^/^ -.- :P:D:S Answered at 2012-09-09 23:57:05
1. ) Can not qualify w / your loan . I have listed a house without a bathroom . There has never been a bathroom in this place . The appraiser list this concern and therefore the bank can not sell the home loans in the secondary market . A cash offer does not require an appraisal. 2. ) I'm assuming this is an issue like this ( Ex. major structure damage , fire , wind or flood damage , water or sewer main problems maybe a buried tank or zoning issues ? ) . If not visible ASK . 3. ) Also could be a repo house more than once and does not qualify for a bank loan now . 4. ) Ask your banker or real estate agent licensed , and not just real estate sales in the person . They can answer any other questions .
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