| You have just visited the REO property and you want | | | | dependent on the financial condition of the specific |
| to have it. How do you negotiate with the bank to get | | | | bank who owns the specific REO property, and the |
| that REO property in your hands? | | | | scale of its REO inventory. |
| Understand the goals of the bank | | | | Next, learn what deals would look good for the bank |
| First of all, you need to understand the bank. It will | | | | who owns the REO property |
| attempt to recover the money it spent on the property | | | | Cash payment deals are the best, and the next is a |
| which will be the unpaid loan by the previous | | | | loan pre-approval that shows you are a serious REO |
| homeowner; foreclosure related costs; and other costs | | | | buyer and have the money to close the sale. |
| to make the property marketable such as clearing of | | | | In addition, banks prefer offers that are clean; have |
| liens, cleaning, and cosmetic repairs. | | | | fast escrows of around 21 days; and who are |
| So make a reasonable offer based on market value, | | | | interested in buying the property "as is" after due |
| condition of the property, and how much you can | | | | diligence inspection has been made. |
| afford. And since your own goal is to purchase the | | | | Finally, although banks have general offer preferences, |
| property below market value; you need to have an | | | | it is best to work with an REO buying agent that |
| agent who can help you offer early for the property | | | | knows by experience, the specific criteria being used |
| before additional expenses are incurred by the bank | | | | by the bank in considering offers for a specific type of |
| that will increase the selling price of the REO property. | | | | property. |
| In addition, how much you can negotiate is also | | | | |