Why Buy an REO?
Make no mistake that one of the largest transfer of wealth in U.S history is about to occur and investors have been waiting on the sidelines ready to participate on generational type purchases. Foreclosures benefit both business owners and real estate investors, allowing them to find properties priced below market value. An REO property (Real Estate Owned) is one where the lender (bank) has assumed full control, either after a full foreclosure or prior to an auction. The benefit of buying an REO property is that you will not be liable for any liens or debts, however you’ll usually pay closer to market value than you would at an auction or through pre-foreclosure.
