Bank Foreclosures

Foreclosures_for_saleAt Fairlane Title Agency we proudly specialize in helping you purchase home(s) through the foreclosure process and to make sure you are protected.  Retaining us to review the title history and documents associated with the property, allows you the comfort and security in knowing that you will be protected.  We recommend that all of our customers do some basic homework, including:

  • Physical condition of the property: It is wise to hire a licensed construction professional to determine the physical condition of the property.  By assessing the extent of damage on the structural parts of the property, you will be able to calculate the amount of money needed to be spent on the repairs and renovations of the property so that you do not end up spending a huge sum on it.  Keep in mind that it is very likely you will be buying the property in an “AS IS” condition.  As such, the bank will have no reason to make any warranties or representations to you about the condition of the property.
  • Determine current value of the property: Carry out extensive market research and assess the current market value.  You may want to consider having the property appraised or contact a local realtor to give you an opinion of value.  In determining value, keep in mind the time and energy you need to spend in order to make the house comply with your standards and also the standard as required by the local building and safety department.  Also keep in mind that a major part of value is location.
  • Municipal government bond:  You should include in the purchase price, the value, or cost of any bond you may have to place with the municipal authorities.  In the metro-Detroit area, most municipal governments require that you place a bond in trust with them in order for them to grant you a temporary certificate of occupancy that would allow you to close, repair, and then occupy the premises.  The cost of obtaining the bond or the cost factor in placing cash as a bond should be factored into the price decision. 
  • Cost that will not be disclosed in title commitments.  IT IS CRITICAL that you contact the local municipal government to make sure that there are no assessed maintenance costs that have not yet showed up on the tax roll.  For example, grass cutting could have occurred just weeks before closing and has not yet been assessed to the tax role.