purvabrown's Blog: All Categories

REOs are some great buys. In fact, in a recent study we did on the main company blog, we found that bank-owned homes are discounted up to 30% which makes bank-owned homes great homes and investment properties. But, if you are considering buying an REO, be sure to watch for these three:

1. RESPA goes out the door - The Real Estate Settlement Procedures Act protects buyers from having to accept a title company that the sellers want, especially if the buyer is paying for half the title costs, amongst other things. Banks will almost always have a title company they want to use and more often than not it will say so in the addendum they require the buyer to sign. Usually this doesn't bother too many buyers, but I thought I would mention it here because it…

This is based on a true story. I knew some people that painted their rental's living room red and the kitchen green. And unless the people who lived there wanted it to be Christmas year-round, the place wouldn't get rented. I can't tell you how many people showed up, took a look at the place and wanted the paint changed before they moved in.

As it turns out, there are more rules to real estate than location, location, location.

End result of that rental? It had to be rented much lower than the usual rent would be in the area. What's true of rentals is true of homes for sale as well. Never underestimate the power of paint. Go for neutrals, not necessarily whites that tend to "whitewash" the architechture. Go to your local paint store and spend some time…

Have I mentioned I love REOs? There was a time when everyone was looking for them and there were none to be found. Now that there are thousands - no exagerration - on the market, it seems like not too many people want them.

You can get some fantastic discounts on bank-owned homes, but there are some pitfalls you should be aware of as a buyer. I explore these and other topics on my other blog Sacramento Real Estate Gal. Why don't you stop by and check it out?