Interested in REO property or a foreclosure in Glendale?


	Smart consumers will turn to a seasoned pro when considering a foreclosed property. If you have any questions regarding real estate in Glendale, Arizona, call me or send me an e-mail.

What is an REO?

"REO" or Real Estate Owned are properties which have gone through foreclosure that the bank or mortgage company presently holds. This differs from a property up for foreclosure auction. DPR Realty LLC has experience to share with foreclosures and bank owned properties in Glendale, Arizona

DPR Realty LLC has experience to share with foreclosures and bank owned properties in Glendale, Arizona

If you buy a property during a foreclosure sale, you must pay at least the loan balance plus any interest and other fees added during the foreclosure process. You must also be able to pay with cash in hand. To top everything off, you'll receive the property 100% as is. That possibly could involve current liens and even current tenants that may require eviction.

A bank-owned property, on the contrary, is a much neater and attractive transaction. The REO property didn't find a buyer during foreclosure auction. Now the bank owns it. The lender will handle the removal of tax liens, evict occupants if needed and generally organize for the issuance of a title insurance policy to the buyer at closing.

You should be aware that REOs may be exempt from normal disclosure requirements. For example, in California, banks are exempt from giving a Transfer Disclosure Statement, a document that typically requires sellers to reveal any defects they are aware of. By hiring DPR Realty LLC, you can rest assured knowing all parties are fulfilling Arizona state disclosure requirements.

Am I guaranteed a good deal when investing in an REO property in Glendale?

It's sometimes assumed that any REO must be a good deal and an opportunity for guaranteed profit. This isn't necessarily the case. You have to be cautious about buying a repossession if your intent is to make money off of it. Even though the bank is typically anxious to sell it quickly, they are also looking to minimize any losses.

DPR Realty LLC has experience to share with foreclosures and bank owned properties in Glendale, Arizona

Look closely at the listing and sales prices of similar properties in the neighborhood when considering the purchase of an REO. And factor in any repairs or upgrades necessary to prepare the house for resale or moving in. It is possible to find REOs with money-making potential, and many people do very well buying foreclosures. However there are also many REOs that are not good buys and may lose money.

Prepared to make an offer?

Most mortgage companies have staff dedicated to REO that you'll work with while buying REO property from them. To get their properties advertised on the local MLS, the lender will often use a listing agent.

Prior to making your offer, you'll want to contact either the listing agent or REO department at the bank and discover as much as you can about what they know concerning the condition of the property and what their process is for receiving offers. Since banks usually sell REO properties "as is", you'll want to be sure and include an inspection contingency in your offer that gives you time to check for unseen damage and cancel the offer if you find it. If, as a buyer, you can provide documentation demonstrating your ability to pay, such as a pre-approval letter from a lender, your offer will be more attractive and likely be accepted. (This holds for any type of real estate offer.)

After you've submitted your offer, you can expect the bank to respond with a counter offer. At this point it will be your decision whether to accept their counter, or offer a counter to the counter offer. Be aware, you'll be working with a process that most likely involves multiple people at the bank, and they don't work evenings or weekends. It's not unusual for the process of offers and counter offers to take days or even weeks. DPR Realty LLC is accustomed to these situations and will work to ensure there are no unnecessary delays.