Realtors have the tools to pull out all the Bank-owned properties to show you in the desired area you are looking in.

While short sales, and pre-foreclosures are plentiful as well, not as easy as bank-owned.
Short sales and pre-foreclosure are extremely time-consuming and more complicated.

Has anyone here bought a short-sale/pre-foreclosure or bank-owned property.
What was your experience buying a short sale, pre-foreclosure or bank-owned property?

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Completely agree with you REL that REOs are the way to go. Now if we could only find one we like...

We made an off on a short-sale and had to retract it because we simply COULD NOT GET AN ANSWER from the bank. Had they been on the ball, the house would be off their books and we'd be living in it now. That house is still just sitting there. Terribly frustrating. Never again.

This message has been edited. Last edited by: Daisy in AZ,

I was completely unaware that realtors could show you all of the bank-owned properties where you're looking. That's a handy little piece of information! Are bank-owned homes "you pay this price, you get it as-is, no questions or debate," or are they like foreclosures in that you wind up paying the former tenant's debt?

You can make an offer, and negotiate up to what you want to offer and usually end up with a very sweet deal.

Most Banks who own these foreclosures will allow you a financing
and inspection contingency. All are AS IS...that I have come across.

Some don't, and require inspection before offer, some no financing contingency or both.

Yes you do get clear title, and you lender will not permit closing otherwise. Never had any problems with any bank-owned properties I have closed. Most all have closed in 30 days, and answers on offers within a week.

I find them much easier than pre-foreclosure or short sale.

I do not recommend waiving the financing, and inspection clauses... rather shop on.

However, I just wrote an offer where the Bank had a very strict addendum requiring the buyer to waive the financing and inspection contingences, against my recommendation the buyer wanted to go forward..

We did a pre-inspection and he waived financing....still negotiating that on that home.

Realtors can design almost any search you can come up with, bank-owned or other, ski-lake or pond, conservation, golf course,listings with the amount of land you want, ...MLS history of how many times, listed and sold..how many bank-owned in whatever neighborhood... pretty much you name it-

...you can call or e mail with a list of desires to the Realtor and they can e-mail you those listings within a matter of minutes.

The MLS system is a workhorse made easy...and we pay for it dearly (lol)..almost $400. a year now...here in my area. Board dues are about another 400. Don't even get me started on the premium fee of additional photos on Realtor.com!


I think I need chocolate...just thinking about it. Where's Peri.

This message has been edited. Last edited by: real estate lady,

I have brought 3 bank owned homes. The last one I brought was in March. Only one was turn key the other two were rehab.

All my offers were contingent on home inspection.

The two rehab I had the most equity after the rehab.

I know a lot of people do not want to fix a house but I enjoy it because I enjoy making a home personal to my taste. It was fun picking out the tile and sinks, carpet, hardwood floors etc of my choice not someone else's decorating ideas.

The trick now a days is finding a real estate agent that is not looking at how much they want to make and work with you at getting the price down. It helps if you know the area.

This message has been edited. Last edited by: Cinta,

More than that.. massive time consumption making offer after offer after offer...

I am wiped out this month.. and I only got two through.

This message has been edited. Last edited by: real estate lady,

Yep the real estate agent has to really work for the money now. LOL

Just did a nice deal for the buyer (asa buyers agent) listed at $129,900 WATERFRONT TOWNHOME 2/2. updated with tile on first floor, pergo on second.... Sold $95,000. Bank-owned.

This message has been edited. Last edited by: real estate lady,

My husband and I just bought a bank owned home. It was listed at $229,000 and we offered $200,000 and asked for 6% back at closing (through Genesis). They countered at $219,000 with the 6%. We probably would have countered that, but then we heard another offer was going to be coming in so we accepted their counter. I never dreamed that they would counter back the way they did, and we are thrilled. Closing is scheduled for mid-August.

The house is in a great neighborhood and in really good shape, despite some major cosmetic changes that are needed. But nothing we can't handle! Mostly wall paper removal, carpet cleaning and stretching and lots of paint. Eventually we'll replace flooring, bathroom and kitchen fixtures and some other things, but for now it's definitely livable.

quote:

Short sales and pre-foreclosure are extremely time-consuming and more complicated

A friend of mine who is a Realtor acted as a Buyer's agent for a Short Sale purchase. It was a nightmare start to finish. They had to re-write the sales contract several times to please the bank, the last time at 11PM on a Sunday night. It took 2 months to close and everyone was exhausted by the time it all ended.

Short sale isn't the same as bank-owned. Short sale is a deed in lieu of foreclosure along with the lender usually taking huge hit in the mortgage.The reason short sale takes so long is most likely it is wishful thinking on the sellers' behalf and the seller has to prove there have been a medical or financial crisis(like loss of job) -- and jump through hoops in order to qualify for one. The qualifying time is what eats up the waiting time...for a buyer to find out if they get the home. Sometimes you never get an answer...after weeks, even a month of waiting. Shop on.


Bank-owned is done deal. Home is already foreclosed. Easier - but still difficult.

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