Last week I was in class learning the in's and out's of handling transactions for short sale, and lender owned properties, a.k.a. REO properties. I took the classes because home buyers today are interested in short sale and REO properties, and in order to represent them properly it's essential to understand the procedures involved to successfully transact these deals. In other words, the lenders have their own way of doing things, and if you don't do it their way, the deal won't get done.
And now, anxious as I am to put all that book learning to good use, I thought I'd start by identifying the short sale and REO properties listed for sale in the Tucson Foothills.
And there aren't that many really, just 20 short sale properties, and
5 REO's at the moment. Hardly enough to make a living, but have a look and let me know if you see something that interests you.
The key differences between short sale and REO properties are;
Short sale properties are-
-owned by an individual, the person who bought the house
REO's are-
-owned by the lender
Short sales are-
-in default or pre-foreclosure because the owner has fallen behind on the payments and the property is worth less than the loan amount
REO's are-
-already foreclosed, the previous owner is out of the picture.
Short sales-
-an offer to purchase must first be negotiated and agreed to with the owner/seller, and then the loan payoff must be negotiated with the lender
REO's-
-there is no loan payoff. The lender owns the property.
Net-net- short sales are more complicated, more time consuming and the outcome is less certain.
see my web site thefoothillsToday.com
to search for and learn more about Tucson Foothills Homes
