115 Meadowcrest Trail, Mirror Lakes Neighborhood
Williamsburg, VA 23188
4 bedrooms/ 2.5 baths 2,690sqft
Lovely large custom built home on 1/2 acre in James City County (Williamsburg). Home has 4 bedrooms plus 17×19 bonus room, family room with gas fireplace, formal dining room, kitchen with island and breakfast room, formal living room or study, and 2 car attached garage!
A foreclosure sale for this property is scheduled for April 17, 2018, at 12:00 p.m., at the James City County Courthouse
Please note: Auctions can be canceled at the last minute. Some of the properties are still occupied and you will be trespassing if you attempt to visit the property.
Text/call for info on this upcoming bank owned foreclosure or others in the Williamsburg, Yorktown, New Kent, VA Beach, Chesapeake, Suffolk, Isle of Wight Poquoson, Richmond VA areas. 757 254 8136 or email John@MrWilliamsburg.com
Buying a home on the “The Courthouse Steps”
Foreclosure auctions take place at the county courthouse of the county in which the foreclosed property is located. It occurs on specified days of each month. Auctions aren’t always well-attended, and you could find yourself as the only one there. If that’s the case, it could mean that the property isn’t widely viewed as a bargain (for price or condition) and you will need to beware.
The lender can specify a “reserve price,” which is the minimum they will accept to transfer the property. This will cover the lender’s exposure in the property or at least minimize it if the property is likely to sell below the outstanding loan amount.
You must come with certified funds on auction day and be ready to complete the purchase immediately. Unlike regular real estate transactions, there is no escrow period between the time you sign an offer and close the sale. Typically a deposit of $20,000.00, or 10% of the sale price, whichever is lower, in cash or cashier’s check will be required at the time of sale. The balance of the purchase price, with interest, will be due within fifteen (15) days of sale. In the event of default by the successful bidder, the entire deposit shall be forfeited and applied to the costs and expenses of sale and Substitute Trustee’s fee.
All other public charges or assessments, including water/sewer charges, whether incurred prior to or after the sale, and all other costs incident to settlement to be paid by the purchaser. Purchaser agrees to pay the seller’s attorneys at settlement, a fee of $445.00 for review of the settlement documents
If the property receives no bids, the lender will take the property back. It is then classified as “REO,” or real estate owned by the lender that the lender will sell at a later date. Typically listing it with a real estate agent in the MLS
Foreclosure Property Risks
From a buyer standpoint, the foreclosure is pretty simple and has the potential for great rewards. But there are risks you need to keep in mind.
1. Property Condition
An inherent problem with foreclosures is that you generally won’t be able to do a home inspection. Occupants tend to stay in foreclosed properties until (and after) the last minute, and won’t let you in to inspect. As well, the property could have major structural issues that will be your problem after you buy the house. You’ll be buying sight unseen!
Do a drive-by inspection and look closely at the exterior and the property itself for clues. If it’s a wreck on the outside it probably is on the inside. Foreclosed owners sometimes destroy the house intentionally.
2. Title Issues
Never assume that the mortgage is the only lien on a property. If the house is in foreclosure, there are probably other liens as well.
Order a title search on any property you are seriously interested in that way you’ll know what you’ll be getting into.
4. Previous Owners Who Won’t Vacate
The previous owners of the house may not leave after you buy their house. You may need to use legal action to have them removed, at your own expense.
5. Financing Issues
Mortgage lenders have standards that don’t usually fit well with foreclosure properties. When you buy a foreclosure, you take it as is; the lender will usually want certain items repaired, and that’s not going to happen. Lenders will also be concerned if you’re buying the house for investment, or worse, to flip for a profit quickly.
Buying foreclosures on the courthouse step typically won’t work if you need to get a mortgage.
6. Post-Foreclosure Issues
Buying foreclosures can be profitable. But as you can see, the potential to overpay for the property, to encounter major repair costs or to get into legal entanglements is real. Proceed with caution!
Psst, I’m a real estate agent.
This post was authored by local resident and REALTOR, John Womeldorf. John is known around town as Mr. Williamsburg, for both his extensive knowledge of the Williamsburg/ Hampton Roads/ Richmond VA area and his expertise helping buyers and sellers in the local real estate market.
I have worked with many home buyers/ flippers/ investors who have purchased bank owned/ REO/ Foreclosed homes in the past.
This has enabled me to gain experience with all types of REO/foreclosures and short sales. I have closed on REO properties for all levels of investors. Advanced or beginning investor, purchasing a home is an investment, it is just a matter of determining your purpose for buying. There is lots more information I could share on purchasing foreclosures. I would love to assist you in becoming an informed buyer. Text or call me (757 )254-8136 or email me at John@MrWilliamsburg.com
If you are a homeowner searching for someone innovative to sell your home I would love to share my thoughts on marketing. You can read some of the stories I have written about the homes I have sold here.
Additionally, I have helped hundreds of folks find their dream home/ community and would love to help you find yours in Williamsburg, Yorktown, New Kent, VA Beach, Chesapeake, Suffolk, Isle of Wight Poquoson as well as Richmond.
You can reach me by phone at 757-254-8136 or email John@MrWilliamsburg.com
I look forward to serving your real estate needs!