In reading different threads…I glean that REO;s listed under a Realtor are just as good and can potentially bring in profits ,as long as numbers are right for us ?..Others disagree…how else do we jump on the deals ,except that we go directly to the banks… :confused
You can search the net, FSBOS, the MLS, but in my experience you rearely find deals this way, AS you said the banks are the best option, and another way to fnd deals is doing direct mail (advertise yourself), but that can be expensive…
Thanks…so you’ve not had luck with MLS?..It’s a hit or miss kinda deal huh?..would be the best thing for a broke newbie though right? :help
I think it just depends on your market in your area. In some areas most of the homes on the market are REO/Bank owned properties.
You can’t really go directly to the banks, as most banks list their properties through local realtors. I believe the only exception might be BULK REO sales where a big investor is buying many , many properties .
People on this forum are successfully buying REOS for rental cash flow and as rehab flips , so it is definitely being done.
A deal is a deal though, no matter how you find it.
But in areas saturated with REOs I think that is the best bet. I think it would be hard to find a deal directly from an owner because…they are either underwater or they bought a long time ago and can afford to hold on , and they probably don’t want to sell their home dirt cheap if they can help it.
Sure you might find one, but I think you would save time making offers on REOs
I’ve noticed the topics on this forum have changed from buying directly from homeowners to dealing with Banks/Reos . The deals today are in REO properties…but that’s not to say that it is easy to buy them. The ones that are cheap are being bought quickly…usually within a day or two of listing.
I’d get a good realtor in your area that understands your goals as an investor, and someone that has experience w/ REOs (they should if your market has a lot of them)
Reo’s have been tagged as deals.Some are,some are’nt.Instead,Look for the ones that have motivated sellers,they’re easy to spot.Then contact the agent(remember they represent seller)and try to findout as much info as possible about what the position of seller is.Its more work but not such a crowded area to search.In my market most reo’s that are deals are under contract within 1/2 day of listed.So you gotta think outside the box to find deals,like yardsales,or see if a boat or harley is for sale(this is usually a sign of desperation).Hope this helps.
I buy everything I own off the MLS, then again I’m an agent and am alerted when new things are listed or when status changes from deals falling through. There are some AMAZING deals out there. A little scarce on inventory now since the govt. moratorium on REO’s, but that should be letting up soon.
Anson
When are they letting up on it?
Some are now over, some are over at the end of May, a few more have extended an extra 30-45 days…
Here in Denver County, we were seeing 30-40 foreclosures a week go through county sales for the first quarter. 2 weeks ago there were 200. There is a Dam built (moratoriums) with plenty of foreclosures on the other side. Just a matter of how/when they will be letting them through…
I submitted a couple of offers about a week ago, they still didn’t get back to me. I hope they don’t say they are already sold , without coming back to me with a counteroffer or anything.
Sometimes they say “Active” on the listing but they say they have an accepted offer or working with several different bidders…so it is pretty frustrating.
Dumping more REOs on the market at least would give people a better chance of getting something.