Will You Have to Pay Closing Costs to Buy a Foreclosed Property?
If you want to buy a foreclosed house, you might be able to have closing costs reduced or waived.
A foreclosed property is subject to neglect, vandalism and theft. Every day it sits vacant, its condition can worsen, making it harder to sell.
If the house has been vacant for months and has damage, the bank might be willing to cover some or all of the closing costs to sell it ASAP.
If the seller won’t negotiate on closing costs, your mortgage lender might agree to roll those fees into your loan to help you avoid paying thousands of dollars now.
That means you would have higher monthly payments.