How to Find Cheap Houses to Buy – Bang for Your Buck

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(Newswire.net — August 30, 2019) — If you are in the business of buying and selling real estate or are hunting for a house to live in yourself, then you’ll probably be looking to spend as little as possible when buying a property. It can be hard to find reasonably priced properties that are up for sale though, and there are a few traps waiting for the unwary buyer if they are not careful. So, if you want to know how to find cheap houses to buy then here are some tips to help you out.

How to Find Cheap Houses to Buy

Don’t know how to find cheap houses to buy? You should check MLS reports, look out for homes that are going through foreclosures, look for fixer-uppers and more when preparing for homeownership

Check Multiple Listing Service (MLS) Reports

The MLS is a great way to find houses that have been up for sale for a while and which you may be able to negotiate a cheaper price for. Check the Continuous Days On Market (CDOM), or Property Marketing Period (PMP) values in the report to get the actual period the property has been up for sale, as it may have been re-listed. The MLS is usually only available to real estate professionals, so you’ll need to check it via a real estate agent if you don’t already have access to it.

Look Out for Banking Foreclosures

Banks frequently have to foreclose on properties where the former property owner was unable to keep up the payments. This can result in banks having an inventory of properties they are not in a good position to sell and which may be available for a bargain price — which is great if you’re planning on buying within a year. Since these properties are degrading in value while they are vacant and unmaintained, contacting the bank to see if they are looking to get rid of some of these properties can be a profitable exercise. Some former owners will trash the property before leaving though, so make sure you check the physical condition of the property you are looking to buy.

Look for Fixer-Uppers

Sometimes a house only needs a little bit of love to drastically increase its value. The seller may not have the means or money to fix up the house themselves though, which can lead to some opportunities. It can be profitable to take a closer look at rough looking houses to see if there is a significant amount of profit hiding under the grime and grunge. Looking for these types of homes is the opposite of what you shouldn’t do before you buy a house. 

Ask Around Retirement Neighborhoods

Retired people love to chat and generally know everything that’s going on in the area they live in. As they get older they frequently need to move into old-age care. It can be worthwhile to find neighborhoods with a lot of retired people and ask about houses that may be going up for sale in the near future. The owner may be interested in a deal that skips a lot of the middlemen and which is more profitable for everyone involved as a result. Although be aware that if you are going to be doing a house viewing, that you know the proper etiquette that comes with it. 

Bottom Line 

When working out how to find cheap houses to buy, the most important thing is to be patient — even when you’re planning to buy within a year. Rushing into a sale without doing your research can cost you money in the long run. Take your time and make sure that you know everything you need to about the property before you commit to buying it. Cheap houses are sometimes cheap for the wrong reasons, so take care when going bargain house hunting.