How to Find Cheap Houses to Buy
By Real Estate Team
Even when the real estate market is slow, finding a real bargain can be tough. But that doesn’t mean you can’t get yourself a good deal. You just have to do some market research and be a bit more creative to find a great deal on a house. Here are a few tips on how to find cheap houses to buy.
How to Find Cheap Houses to Buy
This article will explain some of the ways you can find houses without spending too much and some tips to keep in mind before buying.
Find Out How Long a Property Has Been Listed
You can establish how long a property has been on the market by looking at MLS reports. However, bear in mind that some houses are re-listed after the original MLS contract expires. As such, you’ll have to look for a number for PMP (property marketing period), or CDOM (continuous days on market). These will tell you how long the property has been on sale. In most cases, the longer the property has been on the market, the lower you can expect to pay for it. You can even reach out to other specialists to help you in this realm.
Ask Around
If you’re driving or walking through a neighborhood you like such as Arizona and spot someone in the yard, you can ask them if they know any neighbors looking to sell. If someone is getting ready to list their property, you may be able to work out a deal directly with the seller and save on seller or buyer agent commissions.
Knock
This is a bold move, and it’s not advisable to do it when you’re by yourself, but if you come across a house that looks like it needs a bit of love, consider knocking on the door and ask if they might be interested in selling. The odds may not be in your favor, but you could stumble upon someone who is willing to sell but doesn’t have the time to work on the property. If you’re lucky, you could work out a great deal.
Look at Less Expensive Types of Housing
Study the property market and find out where you can get some great deals. If you opt for a condo, for example, be sure to ask plenty of questions up front about rules on pets, homeowner association fees and whether the property complex is FHA certified. If you’re on a tight budget and interested in living out of town, consider those mobile homes on their own land. They’re good investment properties as they appreciate and rent for almost as much as regular homes.
Fixer-Uppers and Foreclosures
Sometimes a house that needs $5,000 in repairs sells for $20,000 less than a version of the same house that is move-in-ready. If you’re not afraid of dealing with contractors or are handy and DIY is not a problem, then a fixer-upper can be a great opportunity — especially if you’re looking to buy within a year. Similarly, you can get a foreclosed home for a great deal.
Bottom Line
Additional tips on how to find cheap houses to buy include looking at cheaper surrounding cities and exploring short sales. The main trick is to be persistent when you’re preparing for homeownership. Do your due diligence and don’t rule out any source of house listings.