How To Invest In Bulk Reo Tapes

If you've been following the news and latest investingterm "buy cheap and sell cheap" and still make a
trends, then you are aware of the most profitablebundle. Or they can be sold to retail buyers over time
opportunity ever in real estate. I am referring of courseand really stretch the profits beyond comprehension.
to bulk reo investing. Never mind foreclosures andBulk REO Packages give the average investor an
"short sale" investing, all you will accomplish at best isamazing return on their investment. These packages
picking up the property slightly below current marketrange from as low as $200,000 to as high as
value.$20,000,000 or more. The bigger tapes are usually
Bulk REO begins when the homeowners falls behind intraded between banks and insurance conglomerates;
their mortgage payments, then the long and gruelingthey're not for the average investor pool. But who
process of foreclosure begins. This can takecares, there is still a huge amount of money to be
anywhere from 3 to 9 months or more, depending onmade with the smaller tapes.
which state and how backed up the bank logs andThe so called "gurus" will tell you that it is easy to buy
courts are for the counties.these Bulk REO tapes directly from banks; but really,
At the completion of this process, the propertieslet's wake up people! When has it ever been easy to
become foreclosed homes. This is followed by ando anything with banks? Are we forgetting who got us
auction sale at the steps of the courthouse. Commoninto this current economic nightmare?
to today's market, these houses do not sell and areUnfortunately, this being such a lucrative trend it has
purchased back by the issuing banks.spun a ton of pretenders, dreamers and scammers.
Once the banks take these properties back, they areTherefore, the best chance any investor has of getting
assigned the infamous title of 'REO' or bank ownedtheir hands on a "real" bulk REO package is from a
real estate. These REO properties are normally listedreputable Bulk REO Trader. Real REO Traders are
with Realtors also know as "REO Agents". Theseusually backed up by Hedge Funds and being focused
REO agents then try their best to sell these propertieson a quick turn around only place a small premium on
at market price to retail buyers or local investors.these tapes.
This process leaves a sour taste in the banks mouthAs an investor, you will still receive an incredible deal,
because it takes 6 months or more in addition to the 6perhaps even better than going straight to the bank.
to 9 months during the foreclosure proceedings. In theThese hedge funds get deeper discounts due to their
meantime, the bank funds are bleeding keeping andmassive buying power.
maintaining these houses. Plus they are unable to lendLike in any business, do your research and make sure
out more money until they recoup enough to replenishto play your cards right. Do not rush into anything, find
their reserves.a reputable Bulk REO Trader or company and call
Keeping in mind that banks are in the business ofthem. Don't be afraid to ask them questions.
lending money and not selling real estate, they wouldJust make sure that you have the funds or know
prefer to sell these bad assets in bulk at a discountedsomeone directly that has the funds to take down a
rate, rather than liquidating them one at a time.tape. Or if you have a tape or know someone directly
Savvy investors are taking full advantage of this "bankthat has a tape to sell. If you notice, the key here is
calamity" by taking down these BULK REO packages"directly", reputable traders will never entertain "daisy
or "tapes" as they are commonly known. These tapeschains".
are purchased at huge discounts and then sold one atIt does not take a fortune to get started but you can
a time to local wholesalers and investors, hence themake a fortune once you get going.