How to Purchase an Affordable Home Through a Land BankIf you are looking for a home at a bargain price and you don't mind putting some work into it, you might consider the enormous savings possible by buying through a land bank. Land banks are entities run by local governments or nonprofit organizations. The houses they acquire are in tax default, foreclosed, or otherwise abandoned. Sure, you can buy a foreclosed home at a bargain by going through normal real estate companies, but land banks can be much less expensive, and when you purchase a home through one, you can be a part of making the world, or at least your town, a better place. Land banks take over properties that commercial developers don't see as profitable. Land banks are looking to fill those fixer-uppers with people who will take pride in them, which builds value not only for that home, but the surrounding neighborhood. That will not only improve the town, but raise tax revenue. Therefore, you are almost always assured of dealing with a transaction that isn't all about squeezing the buyer. However, land banks will attach strings to any purchase, which vary from state to state, and even from land bank to land bank. You may be required to live there, to get the house up to code within a certain time limit, or to retain ownership for a certain number of years. The trick is knowing what you're getting into, but if you are willing to put the work in, you can own your first home without a 30-year mortgage. Lifehacker has a guide to getting started if you want to purchase a land bank home.(Image credit: elycefeliz) #realestate #homebuying #landbank #fixerupper
$800K Fixer-Upper Comes with a Squatter Living in the BasementAt a glance, this Prado Place’s five-bedroom house is such a dream to own. Coming at a $800,000 price tag, the house has a great location - Trader’s Joe and Home Depot are close by. It is also relatively affordable, being in an area where many house sales top the $1 million mark. However, potential buyers will be shocked to discover what this purchase entails. For three years, the basement level of the house has been occupied by a squatter who’s been living there without a lease in place. According to their realtor, she was someone who weaseled her way in and the current owners are not “the type that can financially afford or emotionally deal with the eviction.” And so, they let her stay there. The lower level is also not available for viewing, per the listing. And so, any interested parties who can obtain the house at a bargain, may want to consider setting aside some budget for eviction.Image:Zinta K. Rodgers-Rickert#squatter #fixerupper #basement