It’s no secret that the real estate market is loaded with distressed properties, foreclosures, and REOs. In fact, if you pick up any newspaper in any US city, you will read doom and gloom news on the declining real estate market and abundance of foreclosures. While the downturn in the real estate market has caused significant problems for homeowners across the nation, this market has also created a host of opportunities for home buyers. Knowing where to look to find the best deals will put you in the perfect position to reap great rewards!
Finding distressed properties, foreclosures, and REOs is not rocket science. The information is readily available to the public via the Internet. The key to finding great deals is educating yourself on the foreclosure process and understanding when te best time to buy within this process is.
Prior to foreclosure, the lender through their attorney must publish notice of he foreclosure auction in at least one newspaper local to the home. These foreclosure notices also appear online, but the website varies by city and state. Use a search engine to search for public notices in your city. This will bring you to a listing of upcoming foreclosure auctions with dates, times, and terms. If you find a home you are interested in within these notices, you can use the details contained within the auction notice to bid on the property at the foreclosure auction.
When a property is not purchased at the foreclosure auction, the bank takes it back and it becomes REO (Real Estate Owned). At this point the bank will list the property for sale with a local real estate agent. This can take time though. The bank will remove any occupants through the process of eviction prior to listing the property for sale, as well as clean the property out and perform any critical repairs if necessary. While a real estate agent would b a great resource to learn what bank owned properties are available, they will not know all of the details on the properties that have not yet hit the market. You can do some research yourself!
To find additional information on REOs, you may visit the following sites:
Equator- (www.equator.com) After a simple buyer registration process, you will be able to view bank owned properties by city and state. Minor details about the property are given, as well as the name and contact information for the real estate agent.
PASREO- (www.pasreo.com) This is the website for Premiere Asset Services, a subsidiary of Wells Fargo. The majority of Wells Fargo REOs and US Bank REOs will be listed within this site. Some information on the property is listed, as well as the name and contact information for the real estate agent.
Altisource- (www.altisource.com) This website contains REOs from every state across the country searchable by city and state. Typically HSBC and some Wells Fargo REOs can be found here.
Resnet- (www.resnet.com) After completing a short buyer registration form, you will be able to view information on REOs across the country. Each listing contain limited information on the property, a photo, and the contact information for the real estate agent handling the property.
AHMSI- (https://www.ahmsi3.com/servicing) This is a the website for American Home Mortgage Servicing Inc. and contains REOs for Option On Mortgage Company. Each listing contains property information as well as the contact information of the local agent
When a property has sat on the market for an extended period of time, the lender may send the property to auction. This can be a great source for astronomical deals! The two most prominent and widely used auction companies are Hudson and Marshall (www.hudsonandmarshall.com) and REDC (www.REDC.com). Both sites contain information specific to the auction and property.
Find great deals on distressed properties, foreclosures, and lender owned REOs is very easy if you know where to look. Happy hunting!