BUY A BC HOME 'THE EASY WAY'

Questions on BC Real Estate foreclosures are frequent. It is my experience that many people are curious about buying a foreclosure but have no idea as to the court room process in dealing with such a purchase.

 

The procedure goes like this:

 

1. An Offer to Purchase is made and  the lender and the buyer negotiate prices and terms. The buyer may have subjects in the contract such as inspection etc. Once the buyer has removed  subjects the lender's lawyer will seek a court date.  The offer will still however be "subject to court approval" . This clause allows more than one offer to be submitted to court. All offers submitted to the courts must be free of any subjects by the buyer and the buyer is also buying the property in "as is" condition.

 

Note: The offer goes to court because the lender is not the owner but has an Order for Conduct of Sale and the court has to approve the purchase. When the offer gets to court it will still be subject to court approval.

 

2. The court approves the sale.  If there are competing offers in Court, all parties will be asked to resubmit their final offer in a sealed envlope. The offers are reviewed by  "the Master" of the court and the best offer is approved.

 

Note: New competing offers may be presented at the court procedings, these offers have to be free of subjects, subject to court approval and purchased as is.

 

If you are thinking about buying a foreclosure make certain your finances are in place and you have done your home work on the property. Once the courts have accepted your offer you better be in a position to buy as there is no turning around on this one.

 

Don McFadyen

Prudential Sterling Realty

www.bchomeadvantage.com