Home » Real Estate

Click here to view
the full print edition
of Avenues
View Property Transfers


AVENUES PARTNERS:
NH homes for sale



Search MLS

Courtesy of


Type:
Residential
Condominium
Multi Family
Land
Mobile Home
Commercial
Rentals

Towns & cities:
Price:
Low:   $
High:   $
Villages:

Locate open houses

Search By MLS #

Classifieds


 ♦ REAL ESTATE
 ♦ APARTMENTS
 ♦ HOME SERVICES
 ♦ HOUSEWARES

Click to place free online ad for items valued under $500.

Opinion

May 08. 2014 11:52PM

Real Estate Corner: Pros, cons of buying a distressed property

Prospective homebuyers are always looking for a bargain price, but typically when a property can be snapped up for a low price, there’s a reason.

Most often, a house with a drastically reduced price will be on the market as a short sale because the owners are hoping to avoid a foreclosure or because the property has already undergone foreclosure.

While the price may be enticing, it’s important to understand what you are buying. First and foremost, a foreclosure or a short sale will nearly always be sold “as-is,” meaning that the owners, whether they are a bank or the residents, won’t be fixing anything before the sale.

The main reason to buy a distressed property is the price. In most cases, a foreclosure or short sale will be priced below market value because the sellers are in a hurry to complete a sale and because they don’t want to spend the money to repair a property in order to bring a higher price.

If you are eager to become a homeowner or want to invest in real estate, a foreclosure can be a good place to start, provided you know what you are doing. A Realtor experienced in distressed properties can guide you to make sure you purchase a home that will eventually increase in value.

When mortgage rates are low, you can take advantage of inexpensive financing to buy a bargain and then sell it later for a profit.

The main risk in purchasing a foreclosure is the reason the property is set at a low price: the condition.

If you are purchasing a house that is in bad shape, you will need to set aside funds to hire contractors or to pay for materials to improve it. Some foreclosures are in OK shape, but others lack appliances, have damaged walls, and may need extensive electrical or plumbing repairs. You may or may not be able to have an informational home inspection on a distressed property, but even if you do, it will be up to you to finance any repairs.

You should also be aware that not all distressed properties can meet the requirements of a lender, given the property’s condition. You will need an appraisal, and for many loan products the lender will need to assess whether the property can be lived in and has value.

If you have experience fixing up homes or a network of trustworthy contractors you can hire, buying a distressed property in bad condition may still be a good deal. If not, you may want to work with a Realtor and a home inspector who can give you a good sense of what it will cost to bring the home into good condition.

Many investors purchase distressed homes with cash, so it’s best to be prepared for potential competition from cash buyers. If you don’t have the cash yourself, you can work with a lender to secure a strong loan prequalification. To be an even stronger bidder, you may want to increase the size of your down payment or your earnest money deposit.

In some cases, a distressed property will require complex paperwork before you can take possession of the property, so be prepared to be patient.

Educate yourself and work with professionals who can recognize the value in different properties so that you don’t find yourself owning a distressed property that requires too much work or sits in a location that negatively affects its long-term value.



.

Michele Lerner is a columnist for REALTOR.com.

This information has been provided by the New Hampshire Association of Realtors in conjunction with the New Hampshire Union Leader’s Advertising Department. Readers with questions about the content, or who wish to pose a question for a column, can contact the association 115A Airport Road, P.O. Box 550, Concord, NH, 03302-0550 or Dave Cummings, director of communications, at dave@nhar.com.




Real Estate

Manchester zoning may be slowing housing market

READER COMMENTS: 0

Many communities need to reassess “fairly hostile” zoning policies and adapt to changing demographics, allowing such things as carving out a separate apartment within a single-family home...

A 50-acre portion of Rockingham Park that has gone unused for years could soon be sold to local developer Joseph Faro.

Part of Rockingham Park may be sold

READER COMMENTS: 0

A sizable portion of Rockingham Park could be under new ownership by the beginning of next year.

Derry housing complex can apply for CDBG grant

READER COMMENTS: 0

Through a grant, a manufactured housing park on Rockingham Road could begin the process for potentially connecting to the town's water system.

Plan to amend Derry property code subject of hearing

READER COMMENTS: 0

Town councilors Tuesday night praised the work of property maintenance committee on a proposal to address abandoned and unsightly areas in Derry.

Manchester mayor asks aldermen to hold abandonded property owners accountable

READER COMMENTS: 0

Mayor Ted Gatsas prevailed on the Board of Aldermen on Tuesday to take a tougher tack against the owners of abandoned properties in the city.

Derry property maintenance ordinance would target unsightly downtown areas

READER COMMENTS: 0

Following months of work by a committee, councilors are scheduled to discuss Tuesday night the possibility of amending the property code to address abandoned buildings and unsightly areas in town.

Abandoned Property: Romney, Brownies and even J.D. Salinger are on the list, are you?

READER COMMENTS: 0

What do the Chinese University of Hong Kong, the Romney for President campaign, and Brownie Troop 2477 of Newton have in common?

Utilities offer tips to help fight high winter energy costs

READER COMMENTS: 0

“Button Up NH Home Weatherization Workshops” will be sponsored by PSNH, Liberty Utilities, N.H. Electric Co-op and Unitil.

Hassan won't ask for vote on new members of utility project evaluation panel

READER COMMENTS: 0

Gov. Maggie Hassan is not expected to ask the Executive Council to vote today on her two nominations to the Site Evaluation Committee, which decides on major utility projects such as wind farms and...

Deal for former Manchester police station falls through again

READER COMMENTS: 0

In August, the Board of Mayor and Aldermen signed off on a deal to sell the Chestnut Street building for $875,000 to a Candia businessman who was working with developers in Massachusetts.

Rising electric bills fuel energy right-to-know request from GOP

READER COMMENTS: 0

The Republican State Party chairman wants the governor's office and state utility regulators and officials to release any communications concerning what are expected to be near-record electric rates...

Manchester panel would take on evaluating condition of city rentals

READER COMMENTS: 0

A special commission may soon be empaneled to study the deteriorating quality of rental apartments in the city.

Londonderry senior housing plans approved

READER COMMENTS: 0

Local planning staff gave their blessings last week to a 110-unit senior apartment complex off Route 102.

After copper pipes stolen, Manchester apartment dwellers left without water taking matters into own hands

READER COMMENTS: 0

Manchester Water Works said Thursday it restored water service to a problem-plagued apartment house at 405 Manchester St., only to discover that someone had stolen copper pipes from the building. The...

Shortfall in tax revenues leads governor to direct departments to cut spending

READER COMMENTS: 0

Continued shortfalls in business and interest and dividends taxes in September prompted Gov. Maggie Hassan to direct department heads to develop plans to reduce spending by $30 million for the...

State Real Estate Commission chairman resigns his post

READER COMMENTS: 0

Commission chair charged with deceptive practices and unprofessional conduct in a sale of Hampton condominium.

Home & Garden

The farm stand at the Devriendt family's 178 South Mast Road property is currently filled with fall harvest produce. Summer crops, like tomatoes, are also still available, says owner Lea Devriendt.

Land buy allows Devriendt Farm to expand, evolve

READER COMMENTS: 0

Devriendt Farm, located at 178 South Mast Road in Goffstown, is preparing to expand onto a nearby 140-acre property, the latest evolution of the family-owned business.

State Reps. Alan Turcotte and Peter Bixby talked about apples and agriculture with orchard owner Andy Mack Sr., during a tour of Mack’s farm store Friday afternoon. 



APRIL GUILMET

Legislators talk farmstand regulations, recycling during Londonderry tour

READER COMMENTS: 0

Seven members of the NH Environmental & Agriculture Committee visited the Coca-Cola bottling facility and Mack's Apples as part of their research process.

Home & Garden

Bedford planners give final OK to elderly housing development

READER COMMENTS: 0

The Planning Board voted unanimously on Monday night in favor of a request for final approval of a five-unit, detached elderly housing development at 99 Pulpit Road.

Danville stonemason John Wilder has been working with rocks since childhood. “The longer you do it, the better at it you get,” he said.

Danville stonemason John Wilder sees potential in every rock

READER COMMENTS: 0

John Wilder can just look at a rock and know what to do with it. He knows where it goes, knows if it's any good, knows its limits. But more importantly, he knows all that humble rock could be.

Artist Tafi Brown of Alstead shows off one of her smaller pieces of cyanotype quilting. This piece was created from a photo of  the Alstead library. Her pieces typically tell a story or reflect what she is feeling when she makes them.

A potter transformed: Tafi Brown took an unplanned turn to cyanotype quilting

READER COMMENTS: 0

For years, Tafi Brown’s path led to pottery, until one day while at a random workshop, she discovered quilting. And now, for nearly 40 years she has been making cyanotype art quilts.

Firefighters could not stop flames from burning the Woodshed restaurant to the ground on Nov. 28.

Comeback planned for landmark Lakes Region restaurant

READER COMMENTS: 1

The Woodshed Restaurant in Moultonborough, which burned to the ground in a Thanksgiving night fire, is coming back in the form of an 1810 barn that will be moved to the site.

The farm stand at the Devriendt family's 178 South Mast Road property is currently filled with fall harvest produce. Summer crops, like tomatoes, are also still available, says owner Lea Devriendt.

Land buy allows Devriendt Farm to expand, evolve

READER COMMENTS: 0

Devriendt Farm, located at 178 South Mast Road in Goffstown, is preparing to expand onto a nearby 140-acre property, the latest evolution of the family-owned business.

A newly renovated kitchen designed by Meagan Collins of Goedecke Decorating Center in Bedford shows cleaner lines in the transitional decorating trend. Every space is used to add storage for spices, utensils and every day items.

Decorating trends: Transitional style blends traditional and contemporary

READER COMMENTS: 0

If you want to give your home an updated and timeless look, consider transitional style — an interior designing trend that blends classic traditional and contemporary looks.

Windham may auction off unused properties

READER COMMENTS: 0

The Windham board of selectmen will meet again in November to finalize details on the future sale of unused town lands.

Double amputee Iraq War veteran Matt DeWitt and his fiancee, Catrina Peck, stand outside their new home in Hopkinton with sons Levi and Reed. The specially adapted home was donated by Homes for Our Troops, and on Saturday, volunteers gathered to landscape the property.

Community comes together to work on custom dream home for NH veteran's family

READER COMMENTS: 0

A local military family is one step closer to having their dream home ready, thanks to the help of a non-profit organization dedicated to providing custom houses for veterans, the Home Depot, a...

After learning embroidery as a child, Rhonda Besaw of Whitefield began doing beadwork in 1996, which opened her eyes to the rich handcraft traditions of her ancestors.

Whitefield artist's beadwork is a tribute to her Native American ancestry

READER COMMENTS: 0

Rhonda Besaw specializes in traditional and contemporary Wabanaki beadwork.

Bedford Planning Board tables Wayfarer approvals again, citing traffic issues

READER COMMENTS: 0

After being tabled by the Planning Board in August, two final approvals for the proposed John Goffe Plaza on the site of the former Wayfarer Inn were delayed once more by the board at their Monday...

Salem senior housing project could require encroachment into wetlands buffer zone

READER COMMENTS: 0

The Conservation Commission is looking for more information on where a detention basin can be built on a proposed 16-unit senior housing project off Pleasant Street before it considers granting a...

Salem mausoleum owner looks to develop housing on site

READER COMMENTS: 0

The owner of a mausoleum at 23 Pond Road is looking to develop senior housing on the 18-acre property.

Rosaly Bass moved to New Hampshire with her husband, Perkins, in 1973 and immediately started gardening.

Rosaly Bass' Peterborough kitchen garden grew to a certified organic 25-acre farm

READER COMMENTS: 0

It starts with a plot of dirt and hope. For 77-year-old Rosaly Bass, that hope took her from a quarter-acre kitchen garden to a 25-acre career and two books.

Some remnants of the Wayfarer Inn, including the footbridge, will be removed by TFMoran in the renovation process. Others, like the mill building, will remain.

Proposed development on Wayfarer site gets green light from conservation group

READER COMMENTS: 0

The new John Goffe Plaza, a mixed-use development being built on the site of the former Wayfarer Inn and future home of the Bedford Whole Foods Market, is one step closer to fruition after receiving...

The Salem Planning Board recently approved the site plan for a botanical garden at a former miniature golf course on North Broadway.

Former mini-golf course to transform into botanical gardens

READER COMMENTS: 0

Salem gets more than its share of retail stores and restaurants approved by the Planning Board along Rte. 28, but the latest plan approved for 350 North Broadway should bring more than a touch of...