real-estate-owned

The Flood Gates Have To Open Soon…

by Peter Giardini | September 29, 2009

For many real estate investors, these past several months have brought a welcome sigh of relief as homeowners have come into the market in truly satisfying numbers. In many parts of the country the steady downward slide in prices has tapered off and we have been seeing what may be the bottom in terms of further price declines… or NOT!

Are Some Hyping Up the Real Estate Market Too Soon?

The numbers throughout the Summer have been promoted with great fanfare… the Schiller-Case Index and National Board of Realtors proclaiming that prices may have bottomed out and the worst is over. Great news if you can believe it!

While I am delighted that prices have stabilized and even increased in some markets and that home sales over these past several months have been solid and even matching sales volumes from 2005…I have been troubled and what I haven’t been able to put my finger on is this…

With all of the homes going into foreclosure, when will this inventory start to pull this “current” housing recovery down? This Bloomberg article is not good news… and suggests that we have a long way to go before all of the current and projected foreclosed inventory can be absorbed.

So the million dollar question is this… How long can lenders continue to hold their REO inventory?

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Real Estate Wholesaling

How to Close REO Wholesale Deals (Part 3 of 5): The Double Closing

by Stephani Davis | September 24, 2009

This article is part 3 in a 5 part series, where I will be explaining the various methods available for closing REO wholesale deals, and getting around the “No Assignment” clause that most banks include in their addenda.

In part one of this series, I talked about simultaneous closings, and part two I discussed using a quitclaim deed to wholesale your REO properties.

Today I will be focusing on doing double closings.

What is a Double Closing?

Just like a simultaneous closing, when doing a double closing, there will be two separate transactions taking place- the A-B transaction where you are buying the property from the bank, and the B-C transaction where you are selling the same property to your end buyer.

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Real Estate Wholesaling

How to Close REO Wholesale Deals (Part 2 of 5): Using Quitclaim Deeds

by Stephani Davis | September 17, 2009

This article is part 2 in a 5 part series where I will explain the various methods available for closing REO wholesale deals and getting around the bank’s “No Assignment” clause.

Using the Quitclaim Deed Method to Wholesale Real Estate

Last week, I explained the mechanics of using a simultaneous closing, and this week I will discuss using the Quitclaim Deed Method to get your REO wholesale deals to the closing table.

When using the Quitclaim Deed Method, you will be adding your end buyer onto the purchase contract that you have with the bank, and then giving them a quit claim deed after closing in exchange for your wholesale fee.

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Commentary

Las Vegas: Record Sales & Dwindling Supply – So Why Are Prices Still Falling?

by Richard Warren | September 14, 2009

Welcome_to_vegas The economic law of supply and demand says that when demand increases and supply falls, prices are sure to rise. Apparently that law has an asterisk that says “except for Las Vegas.”

For months now I’ve been hearing about how brisk sales have been, especially in the REO, or foreclosure, market. Looking at the numbers you will see that the available supply has been steadily trending down and sales have been setting all-time records. A bank puts an REO on the market and within days there are multiple offers on the property. So why are prices still falling?

On The Street

One realtor that I know specializes in these REO properties. What he sees are a lot of cash buyers from other areas stepping in. That would seem to mean that investors are seeing the value while local buyers are still gun-shy. Are they missing a golden opportunity?

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Real Estate Wholesaling

How to Close REO Wholesale Deals (Part 1 of 5)

by Stephani Davis | September 10, 2009

If you’re a wholesaler and have been considering jumping into the REO arena, you’ve probably already figured out that you’re not going to be able to assign your purchase contract to your end buyer like you would on a regular wholesale deal. Ninety-nine percent of the banks will include a “No-Assignment” clause in their contract which will prevent you from doing so.

REO Wholesales are Still Possible!

Because of the bank’s restriction on assigning contracts, many wholesalers are under the impression that there is no way to wholesale these deals at all. This is far from the truth, and while there may be a few more hoops to jump through when wholesaling REO properties, there are still several ways to get these deals to the closing table.

Over the next five weeks, I will be covering five different strategies that you can use to wholesale your REO deals and get around the bank’s “No- Assignment” clause.

Conducting a Simultaneous Closing

Today I will be talking about using a simultaneous closing, which is the way I have been closing my REO wholesale deals for the last two years.

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Real Estate

Some Old Maxims In Today’s New Real Estate World

by Tom Koziol | May 29, 2009

Image by respres via Flickr What with all the hubbub going on about REO’s, foreclosures, short sales and new, bigger and better gurus popping out of the woodwork telling us they have the secret to “get rich” in today’s market, it is very easy to put some of real estate’s oldest maxims in our back [...]

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Economy

Obama’s Making Home Affordable Plan Update

by Steve Heideman | April 20, 2009

Secretary of Housing and Urban Development Sean Donovan was on Bloomberg this morning discussing the state of housing and the Obama Making Home Affordable Plan. There are some signs that the program is starting to work.”I think we have a good balance of carrots and sticks” said Donovan when asked about banks and servicers working [...]

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Foreclosures

Benefits of Buying a Bank Owned Property (REO)

by Troy Schuricht | April 3, 2008

REO stands for real estate owned. This term is used when referring to a home that has gone through the foreclosure process, failed to find a buyer at the auction, and is now owned by the bank. One of the benefits of buying a bank-owned REO property is that investors can purchase the home free [...]

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Foreclosures

Pre-Foreclosures: You have 3 shots

by Jim Watkins | September 10, 2007

First off, let me clear up one thing that continues to confuse the masses… There is a difference between “Pre-Foreclosure” and “Foreclosure.” I am sure all of you have seen the advertising on various sites. “See a list of foreclosures in your area!” Over 90% of the time, they are technically a foreclosure but really [...]

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Foreclosures

Making Offers on REO – Real Estate Owned – Foreclosure Properties

by Joshua Dorkin | July 14, 2007

A new member to our real estate forums recently inquired about putting offers in on REO (Real Estate Owned) Properties. The property he was looking at was listed with an agent for 388,000. Upon doing some research, he found that the home had a 83,000 balance on the original mortgage. In making an offer, he [...]

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