Interested in REO property or a foreclosure in Orlando?


	Foreclosed upon and bank owned property purchases require the assistance of an experience professional. For more information, you can contact me through my site or e-mail me. I'm glad to answer any questions you have regarding real estate foreclosures.

What is an REO?

"REO" or Real Estate Owned are houses which have completed the foreclosure process and are now held by the bank or mortgage company. This is different than real estate up for foreclosure auction. Karla Robinson Realty, Inc. has experience to share with foreclosures and bank owned properties in Orlando, Florida

Karla Robinson Realty, Inc. has experience to share with foreclosures and bank owned properties in Orlando, Florida

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 willing to pay with cash in hand. Finally, you'll get the property totally as is. That could consist of existing liens and even current denizens that may require expulsion.

A bank-owned property, conversely, is a much cleaner and attractive option. The REO property did not find a buyer during foreclosure auction. Now the bank owns it. The lender will take care of 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.

Note that REOs may be exempt from normal disclosure requirements. For example, in Texas, it is optional for foreclosures to have a Property Disclosure Statement, a document that typically requires sellers to disclose any defects they are knowledgeable of. By hiring Karla Robinson Realty, Inc., you can rest assured knowing all parties are fulfilling Florida state disclosure requirements.

Are REO properties a bargain in Orlando?

It's frequently assumed that any foreclosure must be a good buy and a chance for guaranteed profit. This frequently isn't true. You have to be cautious about buying a repossession if your intent is make a profit. Even though the bank is usually eager to offload it fast, they are also looking to get as much as they can for it.

Karla Robinson Realty, Inc. has experience to share with foreclosures and bank owned properties in Orlando, Florida

When considering the value of a foreclosure, carefully analyze comparable sales in the neighborhood and be sure to take into account the time and cost of any repairs or remodeling needed to prepare the house for resale. It is possible to find REOs with money-making potential, and many people do very well buying and selling foreclosures. Still there are also many REOs that are not good buys and not likely to turn a profit.

Time to make an offer?

Most lenders have a department dedicated to REO that you'll work with while 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 find out as much as you can about their knowledge regarding the condition of the property and what their process is for receiving offers. Since banks almost always 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 proving your ability to secure financing, such as a pre-approval letter from a lender, your offer will be more attractive and likely be accepted. (This goes for any real estate offer.)

After you've made your offer, you can expect the bank to make a counter offer. At this point it will be your decision whether to accept their counter, or make another counter offer. Realize, you'll be contending with a process that generally 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. Karla Robinson Realty, Inc. is are used to working around the schedules of this type of seller and will do everything possible to ensure there are no unnecessary delays.