Making an offer on an REO Home in Atlanta
This past week, we were given the opportunity to represent one of Atlanta’s finest banks, listing many of their REO (REO=Real Estate Owned or aka foreclosed or bank-owned) properties. This particular bank has loaned many of Atlanta’s new-home builders the money to start new-homes construction throughout the Atlanta area. Atlanta’s REO homes range in price from $5,000 (yes they do exist!) to millions of dollars and are all over the city: Dunwoody homes for sale, Chastain Park homes for sale, Marietta homes for sale, Woodstock, Buckhead homes for sale, Brookhaven homes for sale, Snellville, Vinings homes for sale). Unfortunately, there are thousands of brand-new homes throughout Atlanta in trouble, with interest on the loans over-due.
The good news for Atlanta’s home buyers, however, is that most banks want to get out of the real estate business. Most of them are willing to take a “hit” on these properties and homes for sale and they’ve literally slashed the listing prices.
If you are interested in buying one of these Atlanta homes for sale, keep in mind certain things:
1. Reasonable offers get reasonable counters. If you come in with an offer that is well below the asking price, expect your offer to be either rejected or countered at full price;
2. Make sure you are pre-approved and not just pre-qualified;
3. Banks usually will not take “contingency” offers. If you cannot pay cash or get a loan without selling your property, don’t make an offer. Just as in certain areas’ of the country’s politics, REO loans are a “Pay to Play” situation;
4. Pick a reasonable closing date. Remember that the bank wants to get this property off the books and a fast closing will help your offer. But, make sure that you have enough time to inspect the home and research the title. Know what you are buying, as REO properties don’t come with money-back guarantees.
5. Act quickly. Good deals do not sit around for long; the longer you wait, the more competition you will have. Many Atlanta REO homes for sale are seeing “multiple offers”. The listing agent will then ask for your “highest and best” offer and you may get into a bidding war.
If you’d like help in finding an REO home, call us. Or, looking for a specific area? Click here: Atlanta Foreclosures and Bank-owned Properties. We’ve already done the searching for you!