There are a lot of great deals on the market, but first time home buyers beware: Purchasing a foreclosure is rife with pitfalls.
5. Hire a real estate attorney
Once banks agree to sales, they often want to move fast and load contracts up with legal mumbo jumbo. As a result, buyers often do not have the time or expertise to figure all the angles.
The solution is to hire a real estate attorney — even in states where home sales are usually completed without one. Considering you’re making a six-figure investment, the legal fees are cheap insurance against the risks.
Real estate attorneys are not normally used in Temecula or California. If you are working with a professional Realtor, even though they can’t give legal advice, will help you navigate the paperwork.
Keep in mind that buyers outnumber properties in the Temecula Real Estate Market, so the banks can always move on to the next home buyer if you make review of the documents by an attorney a condition of your offer.
Golden Rule of Real Estate: Them that has the gold, makes the rules!
6. Wait to make an offer
Homebuyers may be well served to wait before making an offer. Let the house sit on the market for a few days, giving others a chance to set the bidding tone. Then jump in.
“Talk to the agent selling the property,” said Kelman. “The agent may tip his hand. Call up and ask, ‘Should I make an offer? What should I come in at?’”
The agent may tell you he has offers at, say $300,000 and you should bid a bit higher, giving you an advantage over earlier bidders. You may end up paying more than the home is actually worth with this strategy.
In a market where buyers out number homes for sale, “if you snooze you lose”. If you find a home you really like, make a competitive offer. Waiting may find you shut out.
7. Tour properties with contractors
With so many REOs in seriously deficient shape, it’s essential to go over every inch with someone who can spot problems and tell you how much it will cost to remedy them.
A foundation crack can be a minor problem or a deal breaker, and most ordinary homebuyers have no way of telling the difference. Like an attorney, a contractor can be very worthwhile insurance. 
If you can’t have a contractor tour the property with you, get a home inspection and termite report. The bank probably won’t pay for it, but finding out about hidden defects is better in the beginning than after you have moved in.
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Tags: First Time Home Buyers, foreclosures, temecula first time home buyer, Temecula Real Estate Market