What Are REO Listings?
What is an REO listing? This refers to a Real Estate Owned property that should have been a sold foreclosed home, but never found a buyer. After foreclosed homes are finalized, they are sent to an auction. If there is no buyer, the homes revert back to the ownership of the bank.
Most of the houses that go through foreclosure do not sell. They tend to have high outstanding balances as well as many associated costs including legal fees. Therefore, if buyers can see that the bank is selling a house at a higher price than market value, they will rarely ever buy that property. Besides, all auction attendees must have a cashier’s check in hand in order to make a winning bid. New owners, on the occasion that they do buy an inflated price foreclosure property, will sometimes discover that the house still has tenants living inside of it, or has various repair issues that need addressed.
The advantage of buying Scottsdale bank owned homes is that you get a reasonably priced home (much less expensive than market value, or foreclosure price) as well as a better kept home. REO properties, also sometimes referred to as bank owned properties, are usually repaired by the lender upon reverting back to ownership. Tenants are evicted from the house and the home is converted into salable form. New prospective buyers have the right to receive a title insurance policy and the opportunity to investigate the home. Bank owned homes are a great opportunity for you to own property in the Phoenix Metro area.
The bank is willing to let the property go for a lower price than market value. The bank wants to recuperate some of their losses and then dump the property to a quality buyer. The bank is obligated to try to get the highest price possible for the property, since it has to answer to shareholders and auditors for all of their losses. So don’t be surprised if they make you a counter offer, after considering your offer. Little do they know, you know you have the right to make a counter-counter offer. In the end, everyone profits from bank owned real estate.
Where can you find these cheap REO listings? Your best bet is to contact a professional team of real estate and REO experts. The Holm Group can help find REO listings as well as short sales, foreclosures, government foreclosed houses, auction sales, distressed properties and numerous other real estate properties. Start searching REO listings on this site right now! You will be able to find bank owned homes for a reasonable price. Call The Holm Group at 480-206-4265 or fill out the form below to have a real estate expert set up a custom search for you.