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Ouachita County, Louisiana Homes For Sale. Find a Wholesale Bank-Owned REO in Ouachita County, Louisiana, LA:Featured Topic: REOREO's are non performing assets that burden the books of banks as they are not set up to handle real estate. Banks do not want to see a lot of proprietary disclosures with REOs; they are exempt from the California Seller’s Transfer Disclosure Statement (TDS-14) and if there are real estate agents involved, either representing you or the bank, those agents are required to provide you their disclosure statements. Investors that are pre qualiifed and work with a competent lender are in a better to position to have their REO offer accepted and close escrow in a timely fashion. The last downturn in the real estate market created many millionaires who were able to buy and hold cash flow positive REO properties. It is important that REO buyers have a realistic idea of what repairs will cost on the houses they offer on. Many of the currently low priced REO's that look good on paper are in fact non conforming and have many bad features such as undesirable configurations, small square footage, border noisy streets or have bad add ons. It's not unusual for some REO homes in Southern California to receive 15 or 20 offers. Sometimes the bank will throw out all but two offers and then ask the selected buyers to resubmit what is called "Highest and Final" offer. Because they are vacant, many REO homes get vandalized and sustain damage. Many experienced investors make their inspection of an REO by looking through the windows and budgeting for the rooms they cannot see. This is not the most desirable method but will suffice when interior access is not possible. Savvy investors take care to preselect good neigborhoods, location and configurations that would be desirable for family living when looking for REO cashflow opportunities. Fannie Mae does not warrant or guarantee any work that may have been done on an REO property, whether as part of its efforts to sell the home or pursuant to conditions in the purchase contract In addition to your ability to pay for a mortgage on an REO (as indicated by your debts and income), FHA will look at your ability to repay as indicated by your credit report. Banks negotiate bulk-rate discounts with title and escrow companies. If you elect to use the bank's title escrow company, check the fees those companies will charge you. Generally, fees not paid by the bank but paid by the buyer will be higher because title and escrow often make up those discounts by charging buyers more. Many are in fine neighborhoods and offer outstanding values. And while some REO homes do qualify as handyman specials, many are in very good condition. An REO house becomes the property of the lender (usually a bank), and needs to be sold as soon as possible. Many REO buyers select an area that they like, drive the streets and collect agent and property details off of the signs. In this regard they are able to touch and feel an area in a way that can't be done over the computer. In some communities code enforcement is looking to thin the herd of run down section 8 rentals by imposing heavy fines on their landlord owners. This is something to consider when looking into buying an REO homes as rentals. REO tip...REO homes usually have no water service on, you may want to look up in the attic for any broken pipes or mold damage and check the interior walls and ceiling structures for water damage. REO Part II: Banks have departments that must maintain these homes, keep the lights on and keep the taxes paid. Banks cannot legally sell real estate directly to the public, so they enlist the services of a real estate broker to list the home for sale. Real estate brokers in turn with the REO manager within the bank to negotiate through an offer. Because of all the unknowns and requirements with foreclosure auctions many people prefer buying an REO. The REO option offers many more benefits and less stress than the foreclosure auction |
