I have found many homes in my farm area that are REO’s. Most are damaged enough that would be good candidates for rehab. The price that the original owners paid and the asking prices from the banks are no where near each other. I think the banks are trying to make a large profit. My question is this: is there a time of the year that the banks really need to get rid of their inventory and will reduce their prices or are they just going to sit on them indefinitely?
Thanks.
Ken
Yes,
End of month, end of qtr, and end of year.
Darin
Most of the time REOs are sold through real estate agents at fair market value. The best time to buy foreclosures is before they go to auction.
I agree. Once a home hits REO the price is much more resistant to downward pressure. You are no longer dealing with the decision maker, but rather an agent with no authority to negotiate and you are bidding in a much larger market. Once a home hits REO things have cooled off.
Hit it while it’s hot!!!