In today’s tumultuous economy there are foreclosure properties to be found in just about every community across the United States, even in Door County.  Foreclosure properties can present a unique opportunity for home buyers and investors who are looking to score a bargain. 

My years as a real estate transaction closer and as a real estate sales consultant helping people buy and sell property have shown me that when it comes to a foreclosure property, it may not quite be the bargain expected.  Before entering the maze of the foreclosure market here are some important facts you should know:

  • If the property is in foreclosure it is likely that the homeowner’s circumstances left that homeowner financially strapped and unable to perform routine maintenance on the home.  In some cases the homeowner going through foreclosure is additionally resentful and deliberate damage may be caused to the property. 
  • Proper inspections and assessment of the property condition is a must. 
  • A property in foreclosure or that has been foreclosed upon may have been vacant for an extended period of time.  Watch for conditions caused by dampness such as mold.
  • Contact a Door County real estate professional—like me—who is connected in the community and can provide you information about Door County homes in pre-foreclosure.  These are homes that have been scheduled for foreclosure but have not yet gone to Sheriff’s sale at the Door County Justice Center.  These homes need to be sold quickly for the owners to avoid foreclosure and its impact on their credit.  The new HAFA (Home Affordable Foreclosure Alternatives) might make the process for acquisition of these properties more manageable.
  • http://www.hud.gov/ offers special programs for teachers, law enforcement offers and others.  The site also provides information on how to buy properties acquired by the U.S Department of Housing and Urban Development that have been foreclosed on.
  • The purchase of a Door County bank owned property might be slightly less detailed and time consuming, but many of the same cautions apply.
  • If you plan to buy a property at Door County Sheriff's sale, do your research on outstanding liens and property conditions.  My best advice is to engage a title company or attorney to provide you with all the information so you know exactly what liens, easements, encroachments and restrictions the property is subject to--conditions that become your responsibility if you acquire it.

If you are buying a Door County foreclosure or bank-owned property, be ready to do some research and practice patience.  While buying a foreclosure property takes time and patience, the results can sometimes be well worth your time and effort.

For more information, please contact me by email or via phone at 920-823-2219.  And if you know anyone who might be interested in exploring Door County properties that might in foreclosure or are bank owned, please forward this link to them.