The difference between a REO and A foreclosure
REO is real estate owned by the bank, and many people out there consider an REO property to be also a foreclosure.
A REO is different from a foreclosure property. A foreclosure is only a foreclosure for a short time. That's the bank had trying to sell it already at a foreclosure auction and had no luck getting bids.
Because the property did not receive any bids, the bank then became the owner of the property.
This is how the property becomes an REO (Real Estate Owned) by the bank!
Naturally, you will expect that the bank does not want to keep the REO any longer than possible, and this makes it a great opportunity for an investor or a first time home buyer.
Not every REO or every foreclosure is a good deal, you have to be prepared and reading blogs like this is a way for you to be prepared.
Advantages of REO vs. Foreclosed Property
When you are thinking of buying an REO you will have a distinct advantage over a buyer with a foreclosed property. The first one is that you are able to buy an REO by taking your time,
A foreclosure?. .you buy it and you own it at the court steps.
You can make an offer for an REO at any time; in a foreclosure you will have to wait for the bidding to start.
Another big advantage picking an REO as opposed to a foreclosure is that you can inspect it before you buy it.
A foreclosure?. .you buy it and you own it at the court steps. . Inspection or not. .you still own it!
What are the best types of REO to purchase in Montgomery County Maryland today?
If you have the money. .buying or in bulk is where you will get the most savings.
This is a hard nut to crack if you only have a couple million dollars in cash. Generally bulk REO purchases could be worth several millions of dollars for each deal.
If you are a solo investor or a first time home buyer, there are other ways to find good deals in REO in Montgomery County Maryland.
Which REO's you should not purchase?
Ultimately, a good real estate agent should find your priorities and match them, to the property. This is why we recommend an initial interview with each buyer we work with. We want to see your criteria, your desires and your expectations. . and if we think we can meet them, we will immediately start helping you find the right property you.
Why should you hire a real estate agent to help you find an REO property?
Generally REOs are becoming rare in Montgomery County Maryland. As of March 2012, we had only 40 ACTIVE REO LISTINGS. The competition is tremendous out there. Why would you not hire a real estate agent to help you. .specially when you do not have to pay their commission? . . (The bank pays it for you!)
As a matter fact, a good Realtor can negotiate for you around the four discount factors: price, down payment, interest rate and closing costs for you.
All you have to do is hire the right person. .
I hope you will consider us at this time. .
FREE LIST OF FORECLOSURES And PRE-FORECLOSURES in MONTGOMERY COUNTY WITH 100's of PHOTOS
Secret #1: Pre-Foreclosures
Secret #2: How Much Can You Afford
Secret #3: Not In A hurry To Buy A Foreclosure?
Secret #4: I Got the Cash!
Secret #5: Your Criteria- Your Tactic
Secret #6: The Internet: Friend of Foe?
Secret #7: “No Money Down 30 Cents On The Dollar”
Secret #8: The Perfect Storm
Secret #9: Low Ball Offers
Secret #10: REO vs Foreclosure
Need Help Now? : 240-426-5754