Back when the foreclosure crisis was fairly new, we thought we knew the basic risks: the frequent requirement that the home be purchased "as-is" without an inspection; poor home conditions; processing delays; and the risk that the homeowner would, within a legal time period, pay off the debt and reclaim the house.
Turns out those were just the basics. Check out these two excellent articles by Ron Lieber of The New York Times: "Avoid Foreclosure Market Until the Dust Settles," and "What It Takes to Buy a Home in Foreclosure;" for accounts of other crazy situations faced by buyers of foreclosure homes. Battles to keep out squatters, sabotage by the departing angry owner (with home inspectors are having to learn to look for cleverly hidden damage like concrete down the toilet), and unhappy discoveries of other, major debts against the property are just a few of the highlights. Not a task for the faint of heart.
Turns out those were just the basics. Check out these two excellent articles by Ron Lieber of The New York Times: "Avoid Foreclosure Market Until the Dust Settles," and "What It Takes to Buy a Home in Foreclosure;" for accounts of other crazy situations faced by buyers of foreclosure homes. Battles to keep out squatters, sabotage by the departing angry owner (with home inspectors are having to learn to look for cleverly hidden damage like concrete down the toilet), and unhappy discoveries of other, major debts against the property are just a few of the highlights. Not a task for the faint of heart.
