Foreclosures or REO’s are foreclosed properties owned by a Bank, a US government mortgage guarantor like Fannie Mae or Freddie Mac, or by investors that buy repossessed properties out of bankruptcy. A large volume of foreclosed properties (REO’s) is not common throughout the entire Coachella Valley but rather in certain scattered communities.
If you are looking at Foreclosures or REO’s, Dick will help you find the one right for you. We expect to see continuing pressure on homeowners in financial distress who will have to sell their homes. These sales could take the form of regular sales, short sales, or REO’s, depending on the specific type of property and its location. These types of sales will be commonplace until the general economy improves and unemployment declines.
The legal process used by a lender to seize property of a homeowner, usually due to the homeowner not making timely payments on the mortgage is called foreclosure. The house is being sold to satisfy the debt to the mortgage holder who owns the property. Typically, there is less uncertainty on this type of transaction and the process can go quickly. You will be buying this type of property essentially AS IS, and you may not receive all of the typical Disclosure Documents that are associated with a standard sale, as you are dealing with a bank that may not have first hand information on the property and may not even be in the region.