Foreclosure rates are higher than ever, and the last thing anyone selling a home needs is for the bank to seize one of their neighbor’s real estate investments. Just one foreclosure in a neighborhood can drive down the property value of the surrounding houses, but luckily there are steps you can take to keep your equity intact. Here are a few you should try:
- Make Maintenance a Neighborhood Project. Foreclosures drive down a neighborhood’s property value for a few reasons, but perhaps the biggest is that these properties are frequently neglected and begin to look a bit dilapidated. If you and your neighbors split up tasks like mowing the lawn and cleaning the siding, you can keep that foreclosure looking new and inviting.
- Get it Sold. Forget about selling your house when there’s an active foreclosure in your neighborhood – you should be putting your energy towards unloading that property before thinking about your own. Finding a buyer for the foreclosure will refresh your neighborhood property value and eliminate competition when the time comes to sell your own real estate investment.
- Call Quickly and Often. Legally, you can’t trespass on foreclosed property even if it’s in desperate need of repair. You can, however, call the bank or management company responsible for the house’s upkeep and alert them as soon as you notice a broken window or a hanging gutter. If you and your neighbors are persistent enough, they’ll have repairmen there soon enough.
Managing a foreclosure in your neighborhood is all about working towards the greater good. While you might have to put more time into maintaining and publicizing the foreclosed property than you would your own home, getting it sold as soon as you can will leave the entire community better off in the long run.
