What is REO?
REO is simply a bank owned property. (why not call it a bop?) 🙄
REO stands for “Real Estate Owned”. A property will go to auction in it’s final stages of foreclosure when a homeowner is in default. If it isn’t sold at the auction it goes back to the Mortgagee, where it then it becomes what we call an “REO”.
Many investors wait until the property becomes an REO because they feel they can get a better deal. When the auction occurs, the auction typically starts at the balance of the mortgage + any fees, liens, etc. Whereas, when it becomes REO an appraiser is brought in, a real estate agent will provide their opinion, and it is typically listed at market value!
We have MANY investors and Savvy Buyers who keep close tabs on our inventory to see what we have coming up…and keep in constant contact with us. A lot of times we don’t even get to advertise it in the newspapers because once a property gets listed in the MLS, we may often have offers within hours of it being listed if it’s priced right!!!
Want an REO? Sometimes it’s not that easy, if you’re too slow, you’ve lost the opportunity for a chance at a great house!
Not all REO’s are in poor condition. In fact, there are alot of REO’s in GREAT Condition! Either because the homeowner’s took great care of it, but just couldn’t keep up with the mortgage for one reason or another, or the bank has gone in and done any needed repairs. There are many banks that are starting to make repairs and even rehab properties before putting them on the market. Let us help you find one, just Ask us!
TIP: Visit our website often, I try to update it daily to reflect both NEW & Upcoming Listings. If you happen to be extra eager to find something in particular, let me know! I will give you a heads up as soon as I get something that matches what your looking for.