Located an REO Property I'm interested in... now what?

8 Replies

I found a property on RealtyTrac but unfortunately am no longer a member there so I cant see any of the important details.

If I have an address, how can I found out which bank holds the note and get the details on the property?

Thanks,

Coley

http://www.biggerpockets.com/renewsblog/2013/02/22...

At the top of the screen there's a blue bar: forums, marketplace, learn... 

Click on Learn and sub-menus will show up with various options. Go to 'free how to guides'. Pick one and usually there are other links within those articles/blogs related to the topic...

Kudos,

Mary  

If its a REO, there is no note to beheld by anyone. Some bank owns it. They will eventually list it on the MLS. That's when you or your agent can contact the listing agent and make an offer. Unless its owned by some small, local bank, you won't have any luck trying to buy it before that point. You may be able to get a contact with the listing agent by lookinfo for emergency contact information posted on the house.

Jon Holdman, Flying Phoenix LLC

Thanks @Jon Holdman  .  I phrased my question poorly, but I think you got the gist of it - trying to figure out which bank owns property so that I can contact them prior to it being listed.

On Realtytrac it shows a price for the property already - am I correct that the price shown now will most likely be lower (and perhaps significantly lower) than the price it will eventually be listed for?

Pay a title company to do a title search.

Joe Gore

The price shown on RealtyTrac is probably the defaulted loan amount. It doesn't necessarily dictate what price the house will come on the MLS at. REOs will usually come on the market at current market value minus any repairs and/or maintenance that needs to be done to the house.

Unlikely you'll be able to buy it before its listed.  Your only shot would be if its a small local bank.

Check the county recorders records. If the transfer has been recorded you will find a lead for the current owner. Recording takes a while in some locations, though, so this may not work. If not, there's really no way to figure it out. But do go have a look and see if there is a emergency contact posted. That usually happens pretty quickly. Getting it listed on the MLS can take months.

Lenders really do want to sell these properties, so they price them around market price.  Sometimes high, sometimes low.  I think they sometimes price them low to draw a bidding war.  So if the listed price seems low, a full price offer may not win the deal.
REOs are heartbreakers.  Do not fall in love.  Look at lots of them, make lots of offers, and eventually you should be able to buy one.

Jon Holdman, Flying Phoenix LLC

Go to your counties property tax assessment website and look up the address to see who owns it.