Do agents deal with foreclosed homes? Do foreclosures on Zillow show up on the MLS? Do they usually sell for around the listed price? Where is the foreclosure on Zillow being syndicated from?
The answer is yes or no, depending on the stages and the expertise of the agent. You can see "foreclosure" type homes at two stages on the MLS and active for all - early as a short sale and late as an REO. In the middle, foreclosures usually head to the courthouse steps where agents are not involved. However, an investor-friendly agent can assist in valuation, neighborhood scale, pricing, but you would have to compensate them on close from your side.
Zillow also shows preforeclosures, which are almost never active. They may become active in the future, but are not viewable or able to make offers on unless you have the seller in your off-market flow. Your foreclosure auctions will all be listed at an opening bid like eBay and will always sell for more. On the MLS, they usually won't take less than 10 percent of list price as an REO.
Thanks Mr. Greene. So they basically sell for market value with possibly a slight discount?? Do short sales and reos accept loans or it's all cash like auctions?
Yes, at least in our market. There are REO agents that post listing in our MLS, which is why you'd see them on Zillow. Most go for at, or above, asking. No screaming deals. But the inventory continues to be very lean.
Right now, even some that can take financing, won't because there are so many cash buyers and it's just easier unless it's Homepath or something like that where they have an owner-occupant window for the first 30 days. Almost all are selling over asking price now.