Purchasing bank owned properties in the lower mainland.
Purchasing a bank owned or foreclosed property is a very different process than purchasing a regular property in B.C. Although the process can seem confusing and difficult, we are here to help you through the entire process making it as easy and stress free as possible.
Purchasing a foreclosed property: How it works in most cases.
After the lender has been given the right to sell the property they will hire a Realtor® to list the property on MLS and market it to as many purchasers as possible. The price of the property may drop from the original amount several times before the lender gets an offer they accept.
If you are interested in submitting an offer and there is not yet an accepted offer on the property, we request and prepare the required documents. If the offer is accepted the following will happen:
- The purchaser will generally have 5 business days to remove any subjects (i.e. Inspection, Review of the Property Disclosure Statement).
- Purchaser will provide a certified bank draft for the deposit, to be held in Trust until the sale is final.
- The court date will be set somewhere between 2 to 4 weeks from when the offer was accepted. The offer will become public and on the day of court there may be multiple offers presented by other buyers. This is when you are able to adjust the amount of your offer. (Don’t worry; we will walk you step by step through the process!)
If the foreclosed property you would like to purchase already has an accepted offer we will request the needed documentation and prepare an offer for the scheduled court date.
All offers must contain a Schedule A, a certified bank draft for the deposit and must be sealed in an envelope before they are taken to the judge.
*The agent representing the foreclosed property may look at all offers before court is in session and allow each bidder to change their offer based on the other offers. Other agents may have completely closed bidding so it is recommended the purchasers be in attendance on the date their offer is presented. In either case, generally the highest offer will secure the property.
*All financing must be %100 unconditionally approved and may require a bank letter stating this, not just pre approval.
*Please be aware that a bank owned or foreclosed property may be occupied and may require a minimum of 24hrs notice prior to viewing it.
Please call or email us with any questions you may have, we are happy to assist you with this process.
Damian and Tricia