Don't believe anyone who says they can find a bank-owned rental. " There's no such animal", but there are lots of scams out there.
If you're short of cash for a down payment, then do find an experienced Realtor to lead you in the right direction.
Associate Broker, ABR,GRI,CRS,CRB
Have you heard this to be true? I have never heard of it out here in WA. I suppose if we can't search by this criteria of bank owned for rentals, we could open up each rental individually and check the tax records. Regardless, who would want the bank to be their landlord? I think that is a pretty important question to ask if one was truly serious about renting an REO......
Sorry Dayzeb, I just have to play the devil's advocate, knowing they sell the homes as is, I can only imagine how difficult if impossible it would be to have them fix your dishwasher should it break.
I did a quick look to see if that search was available from NWMLS, it isnâ€™t. I can specify ownership type for purchases, but not rentals. Iâ€™m not aware of banks renting homes either, as others have mentioned. If they did have rentals, I donâ€™t believe they would be a bargain. My recommendation for buyers and renters looking for a primary residence is not to focus on who owns the property, but focus on the right home, in the right neighborhood, that appeals to you. Work with a quality agent who can get the best deal for you. Best of luck.
If you're looking for a rental, try Craigslist.
It is a great time to buy, though! There may be zero down programs in your area for 1st time homebuyers. Speak to a lender that is approved at http://www.wshfc.org
The following excerpt is taken from the article linked below. Some times they will also allow a qualified (non-owner) party to rent. This helps prevent vandalism, frozen pipes, and generates some cash flow.
"For homeowners facing possible foreclosure, it is sometimes possible to stay in the home, and reduce monthly costs, by deeding the house to the bank, and renting it back from them. This rent-back option, known as the Deed-for-Lease (D4L) Program, has been growing in popularity. Here's how to find out if it's right for you."
Banks are in the business of lending money. They don't even want to own REOs. They most certainly do not want to become long-term landlords.
And, as Van asks, why would you be interested? If you're interested in renting a place, that's fine. Rent. And if you're interested in buying, fine. Buy. I'm guessing you're assuming that if bank REOs are such good deals (some are; some aren't), then you could find a super-cheap rental that way. Nope. Won't work.
There are plenty of investors who are buying REOs, then turning them into rentals. Depending on the type of property and the geographic location, they can cash-flow very nicely. But, from your perspective, you'd simply be renting from an investor who owned the property. The bank would no longer be in the picture.