after i purchase reo property is there a period of time i have to hold it before i sell it

Asked by Vasiliy, Tue Dec 2, 2008

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Dp2, , Virginia
Sun Dec 21, 2008
If you've already purchased a REO, then you'll need to check the terms of your purchase agreement (and any addenda) and loan agreement (if applicable). The prior might include a seasoning clause, and the latter might contain a prepayment clause.

However, if you haven't already purchased a REO, then you'll need comb through (or hire someone else to do it) all of the terms of your purchase agreement and loan agreement, before you close on that property. This way you'll be able to eliminate the clause or reduce the duration thereof.
0 votes
Noemi Cardoso, Agent,
Sun Dec 21, 2008
There is no retention period for REO but you should check with your mortgage company or look for pre-payment clause in your mortgage paperwork. In MA there are no penaltiels on pre-paying your mortgage but there some Estates that mortgages will aply a penalty if you pay before a certain time. Also is you are using some kind of special program, grant or any other subsidize loan they might require you to hold the loan for a period of time or repay once the loan is paid.

Good luck

Noemi Cardoso
RE/MAX On Demand
Somserset, MA
0 votes
Sylvia Barry,…, Agent, Marin, CA
Sun Dec 21, 2008
No, once you bought a REO with a free and clear title (the important part), then the house is yours and yours only to dispose of.

However, since you are asking this question, my suggestion is that you should engage a Realtor's service to advise and guide you through the process.

Best,
Sylvia Barry
Marin Realtor
0 votes
Manu Kapoor, Agent, New York, NY
Sun Dec 21, 2008
There is no holding restrictions on REO properties. But you need to check with your bank, if u have a mortgage & also check the title seasoning with the buyers bank. As the banks some time want some seasoning requirements.

grandfinance@gmail.com
Web Reference:  http://www.glforloanmod.com
0 votes
Bill Eckler, Agent, Venice, FL
Tue Dec 2, 2008
Vasiliy,

If you financed any portion with a loan, check your loan docs. to see if a penalty clause exists. Otherwise, there are no limitations.
0 votes
The Medford…, Agent, Fremont, CA
Tue Dec 2, 2008
Vasiliy

Some states have a right-of-redemption law – check with your local MLS Board to see if your state has one. In some states, buyers have a full year to redeem their properties.

See this link for more information:

http://narblog1.realtors.org/mvtype/theweeklybookscan/2007/1…

carl@carlmedford.com
Web Reference:  http://www.carlmedford.com
0 votes
blaison samu…, Agent, Santa Clara, CA
Tue Dec 2, 2008
Vasiliy,

You can sell whenever you want but do check your loan papers if there's any pre-payment penalty or not if you pay their loan early. Check your papers with an agent also to confirm...I hope you are selling for profit.
0 votes
Dallas Texas, Agent, Dallas, TN
Tue Dec 2, 2008
If you have a lender involved with could be penalities, confer with all contracts you will sign.
http://www.lynn911.com http://www.homes-for-sale-dallas.com
Web Reference:  http://www.lynn911.com
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