Portland's #1 resource for Home Auctions, Foreclosures, Short Sales, REOs, and Bank Owned homes. We make the process as simple as possible. Here you can research, ask questions, view homes, schedule showings, and submit offers. SEARCH FREE NOW. Asset Managers can find REO services here. We can help STOP foreclosure too.
Home Auctions
Buying a home through an auction can mean incredible deals. Selling a home "Auction Style" means selling quick and for as much as the market will pay. A Home Auction is an innovative and effective method of buying or selling real estate. SEARCH FREE. Buyer Representation is available. We are local and licensed Realtors in the State of Oregon.
Bank Owned Homes
Investors and Savvy Home Buyers alike are finding Bank Owned homes a very lucrative endeavor. Also known as REO homes, these properties saturate the market in a down economy. Find steep discounts on bank owned homes in the Portland Metro here. We are Portland's #1 resource for distressed properties. SEARCH FREE.
Foreclosures
Foreclosed Homes offer some excellent deals in the Portland Market. Ideal for savvy home buyers, investors, rentals, and relocating. Professional Buyer Representation is free and available. SEARCH FREE. We can also help Stop Foreclosure. Contact Us for a confidential and FREE evaluation today.
Short Sales
A Short Sale takes place when a home owner and their lender agree to sell to a buyer for less than what is owed. Short Sales are often bargains and often times are lengthy. Well worth the wait though, if you can purchase the home well below fair market value. We are experts in the Short Sale process, and help both Buyers and Sellers through this process. Search Free or contact us for information on Short Sales.
Five things You need to know or ask before you make an offer on a bank owned home.
- Ask if there are any inspection reports.
- Find out what repairs the bank has agreed to do.
- If there is an “as is form”.
- How long does the bank need to accept the offer?
- How does the bank need the offer submitted?
Your agent will be able to ascertain this information from the listing agent. Nothing happens on weekends or evenings since banks are closed. Usually the listing agent needs the originals. Have a pre-approval letter or qualification ready to submit with your offer. This is not formal, and your offer should be easy to accept.
How to determine the condition of Bank Owned Homes
Since banks always sell these properties in “as is” condition, a buyer should include a Section 1 certification or an inspection contingency. Inspections on bank owned homes are allowed, but will be at your expense. This does not mean they will do the repairs. However, at least you’ll know what your dealing with. This inspection period will allow you to terminate the sale if unanticipated damages are revealed. An experienced agent would still ask for repairs or a credit. Sometimes the bank will work with you if it means losing the deal and putting the home back on the market. Remember.. Banks are trained to say “no”.
How to find Bank Owned listings for FREE
- Search FREE on PortlandHomeAuction.com
- Sign Up for: AUCTION ALERT
- Send a message on the “Contact Me” form
Advantages of Buying Bank Owned Homes
- All liens against the property are removed once it becomes an REO, and taxes are paid.
- Unlike properties at foreclosure auction, REOs can be inspected prior to contract, and are listed with real estate agents.
- While many foreclosures are often in deplorable condition, REOs are typically restored to at least a readily salable condition by the lending bank.
- The bank or lender that owns the property will often provide an allowance for certain repairs.
- REO properties are usually listed on your local RMLS (multiple listing service), or can be located by going directly to the SEARCH listings page.
Why should I buy a Bank Owned Home?
The biggest advantage of buying a bank owned home is that investors are purchasing a home without the liens on them. Before the REO homes hit the market, it’s very common they will expunge all liens and claims. Savvy home buyers can negotiate with the bank to discount the price to a fraction of its market value. Sign up for AUCTION ALERT and get lists of bank owned homes as they become available on the market.
Why Are Bank Owned Properties Special?
Bank owned real estate is unlike any other kind of properties. Banks are not usually in the business of buying and selling property. They want to deal with the money, not the home. Thus providing an advantage to the savvy home buyer. The bank only needs a portion of Fair Market Value (FMV) in order to settle the debt owed from the previous owner. Since banks usually try to aggressively liquidate these homes providing a discount.
Eight Tips for Buying Bank Owned Homes
Savvy home buyers want to find a deal and buy a Bank Owned Home (REO) which are often times under priced. When banks sell homes under Fair Market Value, often times they will get multiple offers thus producing some tough competition. The banks will reject most these offers and either accept or counter offer the highest offer. If we are real lucky, then bank will just accept the highest offer upon receipt.
- Get the history - You can often see what the bank put as the sale price on the Trustee’s Deed. Your agent should be able to see this on the tax record. Somewhere in between this amount and the original sale price of what the previous home owner bought it for is what the lender will generally accept.
- Run Comps - Ask your agent to run comps on the home. We call it a “Comparative Market Analysis” here in Oregon. Also known as a CMA. I would also ask a title company for some comps too. Two opinions are always wise.
- Competition - Are there other offers? This will make it tougher to come in lower. I would say that if there are more than two offers then you would have to come in above the asking price.
- Be Pre Approved - Get pre approved from a lender of your choice. If you don’t know one, then ask your family, friends, or Realtor. Submit this with the offer.
- Don’t ask for repairs yet - Often times banks will do repairs if you ask, but wait for the inspection period. You have time for this later. Don’t clutter up the offer with this.
- Shorten the Inspection Period - Get an inspection the next day if you can. The faster you can do the inspection and move on the more you will be deemed the most serious buyer.
- Pay for your own closing costs - If you have used a title company before often times they will give you a discount the next time around. The less you ask from the bank the more it might pay off in equity.
- Ask to see the Bank Appraisal - The banks usually have an appraisal from the foreclosure / auction period. This would allow you to see what the bank sees when determining value on a property.
Bank Owned Properties
Ownership: The Lender has title to these properties and with the assistance of a local Broker, all offers will be negotiated by an employee of a bank and the buyer.
Paperwork and rules for submitting an offer: Standard Earnest Money Agreements (a normal offer in Oregon) are usually used, however the bank will have their own addendum’s and disclosures. You must follow the banks rules for writing offers. A broker can get these for you. If you don’t use all the proper documents the Bank may counter offer you or just reject your offer.
Determining a Price for a Bank Property: When a Bank starts the foreclosure process they have a local Broker provide a “Broker Price Opinion”. Most of the time the Bank will price the home just under market value. It is still wise to have your Broker do a CMA to figure out what the market value of the home is. Provide this with your offer to the Bank.
Repairs: The Bank prefers to sell a home as-is. If repairs are needed in order for the property to qualify for a loan, then by all means ask the bank. They might do them or credit you for the amount in order to sell the home. Get bids. Submit them to the Bank so they know you are not just coming up with dollar amounts.
Earnest Money: Get a cashier’s check and a proof of funds for this. Don’t use a promissory note. Submit this with the offer to the Bank.
Closing Date: 30 days is my recommendation. The Bank wants to close fast. This means less holding costs for the Banks and will make your offer more enticing.
Response and timing: Depending on the Banks rules, you can be waiting up to a week or longer. If you are lucky, then the bank will respond within 72 hours. The best thing to do is ask the Broker working for the bank how long it should be.
Aaron Majors, Principal Broker 503-332-9777 -Listing Specialist
Born and raised in Alaska, Aaron came to Portland after serving in the U.S. Marine Corps. Aaron enjoys the outdoors, volunteering, teaching, learning, being active in the community, and making life long friends in the area. Always loving architecture and buildings, it seemed natural that Aaron’s passion became Real Estate. He is a member of the Portland Metropolitan Association of Realtors, National Association of Realtors and is always continuing his Real Estate education. He sells Real Estate in the Portland metro area and specializes in Home Auctions, Foreclosures, Bank Owned Homes, REOs, and Investments.
ENERGY, PASSION, RESULTS
Huy Nguyen, Broker 503-791-9376 -Buyer Specialist
Pictured with me is my Mother, Tu-Anh Phan. She has always taught me the values of hard work and doing the right thing. As a licensed agent I have a specialized emphasis representing buyers and handling negotiations with the best interests of my clients in mind. I absolutely love my job and consider the needs of those I serve as if they were my very own. Outside of real estate I love checking out the many restaurants Portland has to offer, singing to my favorite tunes, heading to the gorge for a hike, rock climbing, working out at 24 hour fitness, reading fine books and sipping on a fine cup of coffee or tea. Life is an incredible adventure and I am proud to have my place in this world helping others get what they want.
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Testimonials
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“Aaron Majors did a very good job in a timely manner in the sale of our house. He was very prompt in getting documents to me for signatures as it was done mostly by email which saved a lot of time in the process. He was intelligent enough to understand my level of expertise in the Real Estate Field, so he did not try to hold my hand too much and I greatly appreciated his awareness. His communications with me were consistent so I knew where we were at all times. I would recommend Aaron to any owner wishing to sell.
Rod Swift - Omega Construction
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“After unsuccessfully attempting to sell my house for nearly a year on my own, Aaron helped get my property sold in a relatively short time using creative methods and networking with other Realtors. If I had listed with him in the first place, I would have saved around twenty thousand dollars in additional house payments!
Highly recommended….”
Ted Kinney - Home Seller
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“Aaron demonstrated from early in our relationship that he understood what the real estate business is all about. He thrived under the adversity of our situation and was an encouragement to me as well. I was confident in his recommendations, and was impressed at how he made sure that everything was set up and done to perfection. I suppose doing well in real estate is easy if you are, as he was, driven in equal measure by both the desire to deliver great service to his clients and efficiency”.
Hollie Gallaway, President
Stellaway, Inc
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“Aaron has always displayed a high degree of integrity, responsibility, and ambition. He is a leader. In addition to his excellent real estate accomplishments, he has proven his leadership ability while serving honorably in the United States Marine Corps”.
Lake James H. Perriguey
-Attorney at Law-
www.law-works.com
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“After many attempts to sell my loft by owner, frustrated with numerous potential buyers who didn’t follow through, Aaron encouraged me to protect myself and taught me how to weed out buyers who weren’t serious. His willingness to advise me before I was even a client showed me that he was not motivated by greed and that he had people’s best interests in mind. After finding a buyer, Aaron put me at ease throughout the process, stayed in constant communication, and delivered excellent service. His ethical practices and values are a rare find in the real estate industry. “
Susan M. Brown
CEO, Experience Solutions
www.experiencethesolutions.com
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