Posted by Bill K. (AZ) on February 08, 2000 at 20:51:04:
First of all, try posting this question over on “Newsgroup”. You’ll get more answers as this one is mainly for talk about gurus and courses. You’ll find the link near the top of this page.
Now, to your question. All large banks have REO properties. However, you must talk to the right person in order to learn anything about them.
The person you spoke with is correct. Most lenders will list the property with a Realtor® shortly after getting the property back through foreclosure. In some cases, if the property is in disrepair, the lender may even perform some rehab prior to listing. Of course, they do that in order to get more money for the property.
There is a small window between the foreclosure sale and the listing when you might be able to pick up the property directly from the lender. You need to get a listing of properties being foreclosed on in your market. With that data, you can decide which ones would be worth pursuing.
Contact the foreclosing lender, prior to the sale, to let them know that you are interested in buying the property if it doesn’t get sold at auction. Once again, you must make sure that you are contacting the right person at the bank or your call will fall on deaf ears. It’ll take some calling, but once you establish a relationship with certain banks, it will be easier for future properties.
Now, follow your target properties to sale. If one isn’t purchased at the sale, immediately submit an offer to your contact at the bank. If you reached the right person, you may very well be able to negotiate a sale before they even get a chance to list it.
I hope this helps.
Bill K. (AZ)