Even though a few years ago REO listings were somewhat exclusive to important brokers and investors, these days they are far more accessible to the public than they ever were. Regardless, people are still very much wondering how to get REO listings today, so here is a brief look at why you would ever want to use them and how you can find them for yourself.
So to start things off, what makes REO listings so coveted these days? Well, let’s have a look at what REO listings are in the first place. REO stands for real estate owned, and it refers to a type of property which has come into the hands of a money lender as a result of an unsuccessful foreclosure auction. In most cases, the property ends up being owned by a bank, some kind of government-affiliated agency, or perhaps even a loan insurer.
So what does it may for a potential buyer if they are looking at an REO property? Well, to start things off it is true that the house is going to require more work seeing as how foreclosed properties seldom have people to look after them once they have been abandoned. In addition, it may take the property’s owner a bit longer to respond to your offer; the housing sector is in crisis right now and those who work in it are often overwhelmed with a tremendous amount of work.
So… what makes REO properties so great? Well, as you can imagine this is the type of property a lender wants to get rid of as soon as possible in order to compensate for their losses. The longer the house stays on the market, the more it will lose its value… meaning they need to sell it as fast possible. For this reason, it is very easy to find amazing deals when it comes to REO properties, which is a good option if you are willing to do some work on the house. Needless to say, the best way to find such deals is to get real estate listings for REO properties, and here is how you can get them.
How to Get REO Listings
To start things off, if you are looking for an REO listing as in investor then your best bet would be to find a broker who deals in REOs. Believe it or not, practically every town has a few brokers dealing with such properties and some of them are more than willing to sell you compiled listings for the right price. However, you need to make absolutely sure that the listings are indeed trustworthy as there are many out there who are content with making money off of outdated lists. The best way to verify the broker’s legitimacy would be to ask them for references and get into contact with his or her former clients. You could also try looking the broker up on the internet and see what comes up; in this day and age most of them have a website, or at least a profile in some kind of broker directory. Also, make sure that the properties listed are complete with all the details you need to know about the house… and don’t forget to visit it before making an investment.
If you aren’t an investor but rather a broker and are looking to get real estate listings then your first order of business would be to register with asset management companies, which are basically hired by banks for the sole purpose of getting rid of REO properties. In addition, you should also check out which banks in your town sell REO properties on their own without any middleman. One of the most important factors to getting those listings is to maintain a good relationship with asset managers as they can provide you with constant updates on some of the best deals going around. Many actually rely on these managers as their main source of listings.
All things considered, while REO listings won’t lead you to the most luxurious properties out there they are certainly going to provide you with better deals than you could find anywhere else. When it becomes a question of how to get REO listings, the answer happens to be extremely simple regardless of whether you are looking at things from an investor’s or a broker’s point of view. If you are an investor, simply get into contact with a reliable broker who deals with REO listings. If you are going about it is a broker, find an asset management company and get in good with them.