So Many Buyers are only interested in properties that are the REAL DEAL and particular in REO Properties, but are they really aware of the some of the condtions to look out for in purchasing an REO.
1. FLEXIBILITY -Timelines involved with closing REO properties can be delayed. If a Buyer has a Rigid Closing time, then an REO might not be right for them.
2. FINANCIAL ABILITY-Do the Buyers have the financial ability to close an REO?
3. PROOF OF FUNDS-Do the Buyers have proof of their funds, ready and available and are they willing to suppy proof?
4. ADDITIONAL FUNDS FOR FIXING AND REPAIRING AN REO-Do the Buyers Realize that they may have
a capital outlay for repairing, fixing up, remodeling, replacing such as appliances, etc on an REO Property?
5. NOT ALL REOs are a good deal- Do the Buyers understand the market where they are considering purchasing an REO? Are there an abundance of REO properties in the same area. Is the area that
the Buyer considering a declining market based on Absortion Rates in that market area.
6. Do the Buyers understand the Process involved with Buying an REO property?
Obtaining clear title, documentation required in an REO,
Special Waranty Deeds, Loan Commitments and Deadlines?
7. Do the Buyers understand that REOs are sold AS-IS? Buyers must be diligent with inspections in
many areas during the timeframes allowed with the REO Contracts including home, radon, enviromental, zoning violations and more.
Comments(1)