If you are a real estate investor, you certainly must know about the due diligence process before auction. This is for those of you who do not.
First, you need to know the basics of what buying a house at auction really means. As with most investment endeavors, there are risks, and the more you know the better. Here is a crucial point to remember regarding auctions from investopedia.com.
Auction properties often do not allow a home inspection or any legal way to view the interior in person. If you cannot afford the risk of buying a property in poor condition, stick with auctions that allow you to inspect the property before bidding.
Due Diligence for Auction Hunting
According to this auctioneer expert due diligence for auction involves the following:
- THE ADVERTISEMENT
- PUBLIC RECORDS:
TAX ASSESSMENT INFORMATION
- ONLINE DATABASES
- WHO ARE YOUR RESOURCES
If you are a newbie to real estate investing, download the pdf on the auctioneer webpage to keep as your checklist.
North Eastern Private Lenders, LLC
So, visit the Private Financing page on our website if you are thinking of real estate investing. We service loans for distressed properties, new construction, and apartment rental properties. For example, we frequently come across auction properties as part of our business in serving borrowers. Therefore, we are aware of the importance of due diligence.
Do you know where Rhode Island ranks in foreclosures? We are certainly not the highest, that goes to Florida. Check out this article to research the states with the most. We are the 32nd in ranking and Massachusetts is not far behind as the 28th.
ATTOM ranked Rhode Island 32nd in the nation for its foreclosure rate, giving the state a slight edge over Massachusetts (No. 28) and a sunnier outlook than Connecticut (No. 10) where one in every 2,524 homes saw a filing. The numbers included notices of default, auction notices and bank repossessions.
To learn more, you can also visit a previous blog we did on the foreclosure outlook 2022. And we are frequently posting upcoming auctions on our North Eastern Private Lenders facebook page to keep you informed.