You know a great deal when you see it, if not, you need to look at more homes.
The last REO I bought was 224,900. We offered 225,000
I was told another buyer offered more, however we were a stronger buyer, 10K earnest, 50% down, and that is the reason the bank choose us.
The home appraised on our end for 10% more. It was on the market a total of 9 days.
The trend for banks is to price them to sell, get them done. Create multiple offers. Of course do the comps for the neighborhood, check the resale and new construction.
Good day & Good Luck