Interested in REO property or a foreclosure in Greeneville?


	Savvy consumers will turn to a seasoned pro when considering the purchase of a foreclosed property. For more information, just contact me through my site or e-mail me. I'm glad to address any questions you have about real estate foreclosures.

What is an REO?

"REO" stands for Real Estate Owned. These are homes which have been foreclosed upon that the bank or mortgage company currently owns. This differs from real estate up for foreclosure auction. Greeneville Brokers & Owners Real Estate LLC has experience to share with foreclosures and bank owned properties in Greeneville, Tennessee

Greeneville Brokers & Owners Real Estate LLC has experience to share with foreclosures and bank owned properties in Greeneville, Tennessee

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. Finally, you'll receive the property 100% as is. That might involve prevailing liens and even current occupants that may require removal.

A bank-owned property, on the contrary, is a much neater and attractive option. The REO property was unable to find a buyer during foreclosure auction. Now the lender owns it. The lender will see to the removal of tax liens, evict occupants if needed and generally plan for the issuance of a title insurance policy to the buyer at closing.

Take notice that REOs may be exempt from typical disclosure requirements. In California, for example, banks are not required to give a Transfer Disclosure Statement, a document that typically requires sellers to make known any defects of which they are aware. By hiring Greeneville Brokers & Owners Real Estate LLC, you can rest assured knowing all parties are fulfilling Tennessee state disclosure requirements.

Am I assured a low price when buying an REO property in Greeneville?

It is sometimes believed that any REO must be a good buy and an opportunity for guaranteed profit. This often isn't true. You have to be cautious about buying a repossession if your intent is make a profit. While it's true that the bank is often eager to offload it quickly, they are also motivated to get as much as they can for it.

Greeneville Brokers & Owners Real Estate LLC has experience to share with foreclosures and bank owned properties in Greeneville, Tennessee

Look closely at the listing and sales prices of similar properties in the neighborhood when making an offer on an REO. And factor in any repairs or remodeling 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. Still there are also many REOs that are not good buys and may lose money.

Prepared to make an offer?

Most banks have a department dedicated to REO that you'll work with when buying REO property from them. Normally the REO department will use a listing agent to get their REO properties listed on the local MLS.

Before making your offer, you'll want to contact either the listing agent or REO department at the bank and learn as much as you can about what they know about the condition of the property and what their process is for getting offers. Since banks most commonly sell REO properties "as is", it may be in your best interest to include an inspection contingency in your offer that gives you time to check for hidden damage and terminate the offer if you find it. As with making any offer on real estate, providing documentation showing your ability to secure financing may make your offer more attractive, such as a pre-approval letter from a lender.

After you've submitted your offer, you can expect the bank to make a counter offer. At this point it will be your choice whether to accept their counter, or offer a counter to the counter offer. Your deal might be final in a single day, but that's usually not the case. Since offers and counter offers usually give the other party a day or longer to respond (and employees at a bank don't work nights or weekends) you could be looking at a week or longer.