New home sales have suffered as the industry has faced 5 years of declining business after reaching record highs the 5 years prior. I’m now noticing several builders websites and hearing builders explain why buying new is better than buying foreclosures in Greenwood, SC and in other parts of the country as well. Granted, the Greenwood SC real estate market has not experienced as many foreclosures as many other areas; however, from time to time there have been a few foreclosures in Greenwood, SC as well as “short sales”. The majority of our “bargain buys” have been in the form of lakefront lot foreclosures and short sales on Lake Greenwood.
On the surface short sales and foreclosures appear to be better buys than buying new construction. Builders are warning people that foreclosures and short sales are not ALL the “deals” and steals that everyone thinks they are and can come with pitfalls if buyers aren’t careful. The majority of headaches typically come from unknown repairs, a very limited selection and headaches in working with banks. Builders are trying to get the word out to educate buyers. Many have dedicated pages their websites featuring the benefits of buying new that people may not necessarily think of. Some of the benefits mentioned are warranties, energy efficiency and customization options. Shea Homes and Fulton Homes are featuring a “foreclosure cost calculator” on their websites. By having this it will educate people and help them to see (or atleast be aware of) potential costs of foreclosures.
A monetary value can’t be placed on some headaches and heart breaks. I’ve seen people make a bid on what is the home of their dreams and are thrilled at the possibility of being able to afford it (because after all it is a fantastic deal…right?) only to have their dream shattered when they find out after weeks of waiting, hoping and planning that they have been outbid. Even in short sales though the process is different many times people have to wait weeks, even months for their offers to be reviewed only to be told that it wasn’t accepted.
Yes, short sales and foreclosures CAN be great opportunities. As long as buyers go in with their eyes wide open and with realistic expectations and knowing where the pitfalls are. Being an educated buyer is the key and is where I can help. If you are considering buying Greenwood SC real estate contact me. Put my knowledge and experience to work for you or at the VERY least contact me to get the facts you need to decide whether spending the time and energy searching for the right foreclosure is right for you. You might be surprised at your decision!
