Why Buy A REO?
An REO is real estate owned by the bank, and many investors
consider an REO property to be money just waiting to happen. An
REO is different from a foreclosure property in that the bank
has already tried to sell it at a foreclosure auction and has
had no luck getting bids. Because the property was not bid on,
the bank then became the owner of the property. Naturally, the
bank does not want to keep the REO any longer than possible,
and this makes it a great opportunity for an investor. Not
every REO is a good deal, but when you look at an REO you’ll
commonly find that there is a lot of money to be made.