The last few years have been great for people looking to buy homes inexpensively. And what I have seen is a lot of professional flippers and investors doing really well in the current market, while average home buyers are not fairing so well. This contrast comes largely from the appetite which investors have for foreclosures. Foreclosures are a great way for home buyers to purchase a great house in a great area inexpensively. Unfortunately, there are a lot of misnomers and myths regarding foreclosures.

The first major myth which I have seen is this concept that all foreclosed houses are in need of serious repairs. While some houses do, certainly, need substantial repairs, there are also plenty which are either move in ready or in need of only a few small repairs.

Another common myth which I encounter is the myth that foreclosures are bought for pennies on the dollar. There are, of course, great deals for foreclosures, but they are not as inexpensive as some people will make them out to be. Keep in mind, if a deal seems too good to be true, it probably is.

And the final myth which I would like to discuss is that the foreclosure market has run dry. This is simply not true; there are still plenty of available foreclosed homes available.

If you have any questions about purchasing a foreclosed home, including finding out how much you are preapproved for, please contact me. If you have anything to add about foreclosure myths, please leave a comment.