Looking for REO property or a foreclosure in Brentwood?


	Foreclosed upon and bank owned property purchases require the assistance of an experience professional.

What is an REO?

"REO" is Real Estate Owned. These are houses which have gone through foreclosure and are presently possessed by the bank or mortgage company. This differs from a property up for foreclosure auction. Benchmark Realty, LLC has experience to share with foreclosures and bank owned properties in Brentwood, Tennessee

Benchmark Realty, LLC has experience to share with foreclosures and bank owned properties in Brentwood, Tennessee

If you buy a property during a foreclosure sale, you must pay at least the loan balance plus any interest and other fees added during the foreclosure process. You must also be willing to pay with cash in hand. To top everything off, you'll receive the property totally as is. That possibly will consist of standing liens and even current occupants that may require eviction.

A bank-owned property, on the other hand, is a much cleaner and attractive proposition. The REO property was unable to find a buyer during foreclosure auction. The bank now owns it. The lender will deal with the elimination of tax liens, evict occupants if needed and generally prepare for the issuance of a title insurance policy to the buyer at closing.

Do be aware that REOs may be exempt from normal disclosure requirements. For example, in Nevada, it is optional for foreclosures to have a Property Disclosure Statement, a document that ordinarily requires sellers to make known any defects they are informed of. By hiring Benchmark Realty, LLC, you can rest assured knowing all parties are fulfilling Tennessee state disclosure requirements.

Are REO properties a bargain in Brentwood?

It's commonly presumed that any REO must be a good deal and a chance for guaranteed profit. This often isn't true. You have to be very careful about buying a repossession if your intent is make a profit. Even though the bank is usually anxious to sell it soon, they are also motivated to minimize any losses.

Benchmark Realty, LLC has experience to share with foreclosures and bank owned properties in Brentwood, Tennessee

Look carefully at the listing and sales prices of competing homes in the neighborhood when considering the purchase of an REO. And factor in any repairs or upgrades necessary to prepare the house for resale or moving in. It is possible to find REOs with money-making potential, and many people do very well buying and selling foreclosures. But there are also many REOs that are not good buys and may lose money.

All set to make an offer?

Most mortgage companies have a department dedicated to REO that you'll work with while buying REO property from them. Normally the REO department will use a listing agent to get their REO properties listed on the local MLS.

Prior to making your offer, you'll want to contact either the listing agent or REO department at the bank and find out as much as you can about what they know about the condition of the property and what their process is for accepting offers. Since banks typically sell REO properties "as is", you'll want to be sure and include an inspection contingency in your offer that gives you time to check for unseen damage and retract the offer if you find it. As with making any offer on real estate, you'll make your offer more attractive if you can include documentation of your ability to pay, such as a pre-approval letter from a lender.

Once you've made your offer, it's customary for the bank to make a counter offer. At this point it will be your decision whether to accept their counter, or offer a counter to the counter offer. Your transaction might be settled in a single day, but that's rare. Since offers and counter offers usually give the other party a day or longer to respond (and employees at a bank don't work nights or weekends) you could be looking at a week or longer. Benchmark Realty, LLC is accustomed to these situations and will work to ensure there are no undue delays.