REO and Pre-foreclosure properties are NOT goldmines in this market!!!

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Real Estate Agent with john greene Realtor 475.137677

My phone has been ringing off the hook lately with buyers looking for a steal on bank owned REO properites.

I just have to say for my own sanity, that this simply is not going to be the case. 

 Given the hit that the banks are taking on these properites, they will only slightly be under market value.  Based on the damage that the previous, disgruntled owner, has most likely imposed on the property.... the repairs can easily exceed any profit to be made in the investment sector.

Here near Chicago, the inventory is high... and for the most part, the prices are low, or at least negotiable. 

This is the "Let's Make a Deal" market that some predicted would never come.

What is happening in your market?  Do you find yourself listing more properties in need of a shortsale, or is it "business as usual"?

~Julie

Century 21 Hometown
7821 W. Belmont Ave.
Elmwood Park, IL 60707

630-673-6233

 

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Rainer
35,806
Kirk Mulhearn
Prudential California Realty/Gem Mortgage - Long Beach, CA
At least in Southern California, the agents that have REO accounts are the ones making most of the money right now, one agent in my area has sold over 75 reo properties year to date, and he has 20 pending sales along with 50 open listings---all from bank owned properties,  At least in California, REO are paying handsomely, he has sold over 40 million YTD.  kirk Mulhearn, Long Beach, CA. 90807
Oct 03, 2007 03:55 PM #1
Rainmaker
103,599
Julie Ferenzi
john greene Realtor - Plainfield, IL
Julie Ferenzi

Hey Kirk, that's great news. I would LOVE to be that agent here near Chicago....

I know that it will all change once this inventory actually falls into the lap of the bank.  Unfortunately we'll have to deal with this shake-out while the banks scramble for the solution. 

Oct 03, 2007 04:14 PM #2
Rainer
134,428
Jennifer V-E Johnson
Jennifer V-E Johnson, Reston Expert - Reston, VA
Reston Expert (202) 239-5116
In the Washington, DC area it is also the case.  I have come across some people in pre-foreclosure with room for profit.  One place to try in professional investor meetings we have the Capital REIA - www.capitalareareia.com
Oct 03, 2007 05:09 PM #3
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Rainmaker
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Julie Ferenzi

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