Nick ... You will apparently be buying a home at Texas. Please use a qualified Realtor agent in your area for this. If you want a Texas reference, let me know. Please be careful about getting advice from folks who are not involved with real estate in Texas. Your laws there for transactions and default process will be complicated and unique.

With our best wishes.
Harrison K. Long, Explore Group Properties, Coldwell Banker Previews.

For the best California home and property search check out

Entering Default means simply that the owner has fallen behind in payments.

No the amount owed does not necessarily mean this is the asking price. The asking price may be higher, the same, or even lower than the amount owed. If it is lower, we call this a short sale. In a short sale the price is usually set by the owner and agent, not the bank, but the bank will have to approve the priceand loss in order for you to comsumate a sale. This proces can take some time so be patient. I've included some links to our Orange County short sale tutorial as well as some of the latest updates with the success of these sales.

You will be dealing with the owner as far as getting your offer signed but then it will be submitted to the bank for approval. It has been my experience that most owners don't care what the house sells for since they won't see any profits but beware because your offers will need to be crafted well enough for the bank to approve them, not just the current owner in default. Hope this helps. Let us know if you have other questions.

http://foustonline.blogspot.com/2007/10/orange-county-real-e…
http://foustonline.blogspot.com/2008/07/short-sales-starting…

Nick ... If you are in Houston and wanting to buy a home at Texas, we recommend that you hire a qualified Realtor agent there.

Our California situation on REO properties and default is unique. If an owner is entering default, this usually means a notice of default has been filed and recorded by one of the lenders. That would start the foreclosure process in California, which would end later with the actual trustee sale and completion of foreclosure.

Harrison K. Long, Realtor agent and broker, Coldwell Banker Previews, Irvine, CA

For the best California home and property search site check out

No, it means that the bank is getting ready to take it back. Forclouse on the property. if it is for sale "entering default" it might still be owned by the occupant so you would be dealing with them and not the bank. Although if you offer less than what is owed the owner or broker can ask the bank for a "short sale" and sell it to you for let than what is owed and the bank takes a loss, the owner is out of the deal and you get the home for the agreed upon price. you need to find a good buyers agent who understands short sales. let me know if you need a recommenation for one. i can have our Relo Director pair you up with one.