Tips to Using the MN MLS to Buy a Foreclosure

Foreclosure are all the talk right now.  Regardless if you are an investor or owner occupant, everyone wants to get that good deal and they think it comes from buying a foreclosed home.  They are probably right, but there are lots of gotchas when buying them.  Here are some tips on how you can use the Minnesota MLS to catch potentials issues with a home before you drive out and see it.

1. Although some listing agents only put one picture of the home on the MLS, any photos can give you some information.  Here are some things to look for:
   • How does the roof look in the pictures?  Is it really old?  Is the color look like it is from the 1970s?
   • If there are interior pictures, notice the decor.  Is the carpet from the 1970s?  If so, this may mean that not much on the house has been updated.  Are you looking for this type of rehab?
   • If the interior pictures show the bedrooms, can you tell if they are in the basement?  If so, do they have egress windows?
   • If there are pictures of the finished attic and/or basement, notice the angle of the camera to the ceiling.  If the person taking the picture is 6’ or under the ceiling should be high above.  If it looks close, it may be a low ceiling.
2. The MLS listing should say what type of basement the house has.  While most houses built after 1960 have full basements, I have gone out to several houses built in the 1950s or earlier only to find that they have no basement or simply a 8’x8’ room in the basement and everything else is crawlspace.  While this may not be a deal killer for you, it could explain why a home is cheaper than it seems it should be on paper.
3. Review the square footage of the home and compare it to how many bedrooms it has.  Unfortunately, real estate agents will often simply copy the listing details from the previous listing.  They do not recheck the square footage or bedrooms sizes.  I have found that most square footage entries on the MLS in Minnesota are incorrect.
4. If you can see any outlets or plumbing faucets in the pictures, have those been updated?  This may give you some indication of how old the facilities are.
5. Compare what the MLS details say for the heating source compared to what you would expect for a home in that particular area and age.  A home in the City of Minneapolis that says electric heat could mean that someone did a bad remodel in the past and removed lots of the character (these houses would normally have cast iron radiators, which are much more authentic).

Doing some investigative work based upon the MLS MN details can save you from being disappointed by details that were omitted about a house that on the internet looks like a great deal.

Tagged: foreclosures, homes, Minnesota MLS, mls, mls mn, mn mls, North Minneapolis, search mls