Homes that are listed as “pre-foreclosure” on Zillow aren’t necessarily up for sale. Here’s what that title really means.
Looking to sell a home in Southern California?
Looking to buy a home in Southern California?
I get a lot of calls from people who tell me they saw a property for sale on Zillow with the word “pre-foreclosure” next to it. What does this mean?
It doesn’t actually mean the property is for sale. Pre-foreclosure means the owner of the listed property has either a notice of default or a notice of trustee sale filed against the property. That means—for whatever reason—the owner is behind on their payments. Maybe they’ve passed away and their family can’t make the payments; maybe they’re in the middle of a loan modification and they’re trying to work something out with the bank in order continue with their payments. It could be for a number of reasons.
Frequently, homeowners try to keep their homes, and unfortunately, some of them wait until it’s too late and the property goes up for sale on the courthouse steps. The bank may also just take the property and keep it as part of their inventory. There are a few things that can happen, but it doesn’t always mean the property will go up for sale to the general public.
If you see a property on Zillow that you’re interested in, give us a call.
Sometimes investors will knock on those people’s doors and try to get a good deal for those houses. To do that, you need to have enough cash to make good on the current owner’s loan, and sometimes they’re unable to do that, which is where you see a short sale happen later on down the line.
If you see a property on Zillow that you’re interested in, give us a call so we can contact that homeowner to see if they really are selling that home.
If you have any other questions about this topic or our market, don’t hesitate to contact me. I’d love to help you.
