Looking for REO property or a foreclosure in Cupertino?


	Investing in a bank-owned property is not something to be taken lightly. For more information, simply contact me through my site or e-mail me. I'm glad to address questions you have about real estate foreclosures.

What's an REO?

"REO" stands for Real Estate Owned. These are houses which have completed the foreclosure process that the bank or mortgage company currently holds. This differs from real estate up for foreclosure auction. eRealty & Loans, Inc. has experience to share with foreclosures and bank owned properties in Cupertino, California

eRealty & Loans, Inc. has experience to share with foreclosures and bank owned properties in Cupertino, California

If you buy a property during a foreclosure sale, you must pay at least the loan balance plus any interest and other fees added during the foreclosure process. The buyer must also be willing to pay with cash in hand. Finally, you'll receive the property 100% as is. That could involve prevailing liens and even current residents that need to be thrown out.

A bank-owned property, on the other hand, is a much cleaner and attractive option. The REO property was unable to find a buyer during foreclosure auction. The bank now owns it. The bank will deal with the elimination of tax liens, evict occupants if needed and generally plan for the issuance of a title insurance policy to the buyer at closing.

Take notice that REOs may be exempt from typical disclosure requirements. For example, in Nevada, it is optional for foreclosures to have a Property Disclosure Statement, a document that normally requires sellers to reveal any defects of which they are informed. By hiring eRealty & Loans, Inc., you can rest assured knowing all parties are fulfilling California state disclosure requirements.

Am I assured a good deal when investing in a bank owned property in Cupertino?

It's frequently believed that any foreclosure must be a bargain and an opportunity for guaranteed profit. This isn't necessarily the case. You have to be cautious about buying a repossession if your intent is make a profit. Even though the bank is often anxious to sell it quickly, they are also looking to minimize any losses.

eRealty & Loans, Inc. has experience to share with foreclosures and bank owned properties in Cupertino, California

When contemplating the value of REO property, you need to look closely at comparable sales in the neighborhood and be sure to take into account the time and cost of any repairs or remodeling needed to prepare the house for resale. It is possible to find REOs with money-making potential, and many people do very well buying and selling foreclosures. However there are also many REOs that are not good buys and may lose money.

All set to make an offer?

Most mortgage companies have a department dedicated to REO that you'll work with while buying REO property from them. To get their properties advertised on the local MLS, the lender will often contract with a listing agent.

Before making your offer, you'll want to contact either the listing agent or REO department at the bank and find out as much as you can about what they know concerning the condition of the property and what their process is for getting offers. Since banks most commonly sell REO properties "as is", you'll want to be sure and include an inspection contingency in your offer that gives you time to check for unknown damage and retract the offer if you find it. As with making any offer on real estate, your offer may be more attractive if you can include documentation of your ability to pay, such as a pre-approval letter from a lender.

Once you've presented your offer, it's customary for the bank to make a counter offer. From there it will be up to you to decide whether to accept their counter, or submit another counter offer. Be aware, you'll be working with a process that most likely involves a group of people at the bank, and they don't work evenings or weekends. It's typical for there to be days or even weeks of negotiating back and forth. eRealty & Loans, Inc. is are used to working around the schedules of this type of seller and will do everything possible to ensure there are no undue delays.