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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] "SBB", REO vs. Auction, etc. Posted by Mary on February 19, 2002 at 11:56 AM Questions for you: 1) I've heard of JBB's, but is there such a thing as "SBB" (Senior Bene Buyouts)? 2) If purchasing an REO, what can I expect to pay? The loan balance + any accrued charges? FMV (or close to it)? (i.e., will the bank attempt to make as much profit as possible after they aquire the property?) 3) Do banks allow potential buyers to inspect REOs? In other words, if they are selling "AS IS" does this mean they will not allow an inspection and you take the risk of taking a property "sight unseen"? 4) If I purchase an REO "AS IS" (in need of major repairs) can I negotiate a lower purchase price that takes into account the cost of the repairs I will shoulder? Or, will the bank want, at minimum, the amount they are out (loan balance + add'l charges)? Also, can I negotiate the price down if I pay in cash? What is the procedure for making an offer for an REO? Presuming the Lender will take the property back at auction, is it acceptable to make an offer to purchase the anticipated REO before the auction? 5) I am interested in a property going up for auction (in CA)- needs lots of repairs (judging by its exterior) but located in EXCELLENT neighborhood with great comps. I am debating whether I should try to outbid the lender OR purchase it afterwards as an REO (as I would then be assured of clean title). What do you suggest? I'm a first timer - hubby & I will be owner/occupant. Follow Ups: REO's only happen when there's no equity to begin with. Ward-CA- 3:09 PM, 02/19/02 (1) Re: REO's only happen when there's no equity to begin with. C D Palmer 0:27 AM, 08/15/07 (0) Post a Followup: Name : E-Mail : Subject : Comments: : Questions for you: : 1) I've heard of JBB's, but is there such a thing as "SBB" (Senior Bene Buyouts)? : 2) If purchasing an REO, what can I expect to pay? The loan balance + any accrued charges? FMV (or close to it)? (i.e., will the bank attempt to make as much profit as possible after they aquire the property?) : 3) Do banks allow potential buyers to inspect REOs? In other words, if they are selling "AS IS" does this mean they will not allow an inspection and you take the risk of taking a property "sight unseen"? : 4) If I purchase an REO "AS IS" (in need of major repairs) can I negotiate a lower purchase price that takes into account the cost of the repairs I will shoulder? Or, will the bank want, at minimum, the amount they are out (loan balance + add'l charges)? Also, can I negotiate the price down if I pay in cash? What is the procedure for making an offer for an REO? Presuming the Lender will take the property back at auction, is it acceptable to make an offer to purchase the anticipated REO before the auction? : 5) I am interested in a property going up for auction (in CA)- needs lots of repairs (judging by its exterior) but located in EXCELLENT neighborhood with great comps. I am debating whether I should try to outbid the lender OR purchase it afterwards as an REO (as I would then be assured of clean title). What do you suggest? : I'm a first timer - hubby & I will be owner/occupant. Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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