Tips for Buying an Abandoned Property

The world of real estate is one of the most diverse in terms of investments. There are many types of properties that people from different buyer groups can focus to become their investments. One such property type falls to the group of abandoned properties.

 

Gone were the days when abandoned properties found by someone can be easily claimed as their own. The ownership is now bound by different laws which make the claim somehow complicated. But what if you really want to invest in an abandoned property which you have just found. Here are some tips.

 

Find proofs that the property is actually abandoned.

 

You have to bring out your research skills to find out if a property is abandoned. A property or house may seem empty but it doesn’t always necessarily mean that it is abandoned and that no owners would come from the vast to claim it in the future. More or less, tracing the property will let you come across title deeds bearing the names of the legal owners or heirs perhaps.

 

Study available records.

 

But despite the records showing the names of the owner, it will not always mean that the owner is 100% willing to maintain the property or even live in it. In most cases, the owner would rather sell the property than embark in a costly and time-consuming maintenance efforts.

 

You can also check with the county office and look for property tax records. Those files will eventually show the owner paying or owing for the taxes. The property deed will also show mortgage dues. You can contact the bank or the mortgage company to which the property has liens. Tell your interest to take ownership of the property. In most cases, they will be willing to negotiate with the owner for you.

 

Make substantial offer.

 

The owner, despite having incurred debts on liens, may still want to have some gain after letting go of the property’s ownership. See to it if the amount is still within the range you are willing to spend. For most cases, owners will just want to clear their names of any debts.

 

Resort to so-called desperate tactics.

 

Adverse actions may or may not work in your favor. As a concrete example, abandoned properties are typically squat off by individuals or even groups of people with the thought of gaining rightful ownership to it or a portion of it. A property which has been squat for 20 years or more may actually work in favor of the person seeking ownership. For some reasons, there are instances when rulings turn tides resulting to the property being owned by the occupants and not the real owners.

 

There have been cases when abandoned properties are granted to squatters when the real owners failed to stop them for occupying the property for long periods. But still caution should be observed as halfway or just few years from occupying the abandoned property, the real owners may surface to claim the property. It can result to offenses such as trespassing.