Home Buying in Livermore>Question Details

Johnny, Home Buyer in California

Is it good to go on an reo tour? Or is it just a waste of time? Houses in California still seem over priced

Asked by Johnny, California Wed Jul 2, 2008

in many cities.

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Johnny:

You won’t know what’s out there until you go. A reputable Realtor will be able to run comps for you on any property you may be interested in and you will have an opportunity to see for yourself what is going on.

Two important things to know:
(1) There are approximately 14-18 months of REOs still coming – they will continue to shape the market as they have done this past couple 18-20 months.
(2) In many places in the Bay Area we are now seeing multiple offers on REOs as soon as they hit the market, and prices are being driven back up. This is normally the type of activity you would see when the bottom of the market is starting to firm up. In other words, there is no guarantee that, because it is an REO, you can offer any old price and the bank will jump at it.

We’ve represented many buyers in the purchase of REOs, and we have seen a definite change in the past few months. And remember that no one will ring a bell when the bottom of the market is reached. You typically only know in retrospect, then wish you’d taken advantage of it as it was happening.
Web Reference: http://www.carlmedford.com
1 vote Thank Flag Link Thu Jul 3, 2008
Johnny:

It does not hurt to go on an "REO tour". When buying anything and especially when buying a home, which is the largest single purchase most people make in their lifetime, it is always good to have as much information as possible. Just because you "go on an REO tour" does not mean you have to buy. May sure you look at the paperwork they ask you to sign first and see what your obligation is to the broker doing the tour. Also, I would not pay for an REO tour. Any reputable Realtor would be happy to provide you with this same information for free. And remember, not all REOs are a good deal. Make sure you know the market comps and don't just assume that the property must be priced right.

Best of luck in finding a great home at a great price and negotiating a great deal. And Dare to Dream.

Shel-lee Davis
Real Estate Consultant
RE/MAX Palos Verdes Realty
1 vote Thank Flag Link Thu Jul 3, 2008
Depends, depends, and depends on the specific house at the specific location for the specific price. Find a reputable Realtor , who is on top of all the properties on the market, knows about the current market condition, the specific supply and demand of a specific segment of the market, then he/she can advise you of which REO properties are great buys - Some are not - just because it is REO does not automatically mean best deal.

Sylvia
1 vote Thank Flag Link Wed Jul 2, 2008
Sylvia Barry,…, Real Estate Pro in Marin, CA
MVP'08
Contact
Hi John,
Please go to my website which is 100% dedicated to foreclosures and the current state of the real estate market in Alameda county. All of your quesionts about REO's and foreclosures will be answered there.
Thanks,
Tom
0 votes Thank Flag Link Wed Nov 5, 2008
It is definitely not a waste of time. Find out what areas the REO tours cover, and what type of buyer the tour is targeting (first-time buyer, investor), because there may be loan consultants or real estate lawyers there to help answer questions you may have or let you know about special programs for your specific needs.
0 votes Thank Flag Link Thu Sep 18, 2008
Well the truth of the matter is that all of desired REO properties tend to go pretty quickly. The most sought after REO properties are gone by the time they hit the MLS. My advice would be for you to call Me at 925-895-2231 or email me at sandradkelly@yahoo.com for upcoming REO properties that have not hit the MLS yet. Ask me how I can also get 15.5% cash back at the close of escrow. Go to http://www.eperks.com/sandyandmark
0 votes Thank Flag Link Wed Jul 9, 2008
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