Looking for REO property or a foreclosure in Dickson?


	Savvy consumers will turn to a seasoned pro when considering a foreclosed property.

What's an REO?

"REO" or Real Estate Owned are properties which have gone through foreclosure and are presently held by the bank or mortgage company. This is not the same as real estate up for foreclosure auction. Parker Peery Properties has experience to share with foreclosures and bank owned properties in Dickson, Tennessee

Parker Peery Properties has experience to share with foreclosures and bank owned properties in Dickson, Tennessee

If you buy a property during a foreclosure sale, you must pay at least the loan balance plus any interest and other fees accumulated during the foreclosure process. You must also be able to pay with cash in hand. And on top of all that, you'll accept the property entirely as is. That may include existing liens and even current denizens that need to be put out.

A bank-owned property, conversely, is a more tidy and attractive proposition. The REO property did not find a buyer during foreclosure auction. Now the lender owns it. The bank will handle the removal of tax liens, evict occupants if needed and generally organize for the issuance of a title insurance policy to the buyer at closing.

You should be aware that REOs may be exempt from typical disclosure requirements. For example, in Texas, it is optional for foreclosures to have a Property Disclosure Statement, a document that ordinarily requires sellers to reveal any defects of which they are aware. By hiring Parker Peery Properties, you can rest assured knowing all parties are fulfilling Tennessee state disclosure requirements.

Is REO property in Dickson a bargain?

It's frequently presumed that any foreclosure must be a good buy and an opportunity for easy money. This isn't necessarily the case. You have to be prudent about buying a repossession if your intent is make a profit. While it's true that the bank is often eager to sell it soon, they are also motivated to minimize any losses.

Parker Peery Properties has experience to share with foreclosures and bank owned properties in Dickson, Tennessee

When considering what to pay for a foreclosure, you need to look closely at comparable sales in the neighborhood and be sure to take into account the time and cost of any repairs or remodeling needed to prepare the house for resale. The bargains with money making potential exist, and many people do very well buying foreclosures. Still there are also many REOs that are not good buys and may not be money makers.

Ready to make an offer?

Most mortgage companies have a department dedicated to REO that you'll work with when buying REO property from them. Usually 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 learn as much as you can about what they know about the condition of the property and what their process is for receiving offers. Since banks usually sell REO properties "as is", you may want to include an inspection contingency in your offer that gives you time to check for hidden damage and withdraw the offer if you find it. As with making any offer on real estate, providing documentation showing your ability to pay may make your offer more attractive, such as a pre-approval letter from a lender.

After you've made your offer, it's customary for the bank to respond with a counter offer. At this point it will be your choice whether to accept their counter, or offer a counter to the counter offer. Be aware, you'll be contending with a process that most likely involves a group of people at the bank, and they don't work evenings or weekends. It's typical for there to be days or even weeks of negotiating back and forth.