Why Should Vacation Home Buyers Care about REOs?
Posted by Team Donovan on
Are you in the market for an Orlando vacation home? If so, you may have come across a listing on a real estate website like Team Donovan’s that says the home is a bank owned / REO property. REO stands for Real Estate Owned, which means the home has been foreclosed upon and repossessed by the lender (which is typically a bank).
Foreclosure processes vary by state, but the end result is the same. After a bank forecloses on a property, they place the home into their inventory of real estate owned. At this point, federal agencies such as Freddie Mac, Fannie Mae or HUD (Housing of Urban Development), may have to settle with the bank if there was some type of guaranteed loan involved. It doesn’t matter whether these agencies or the bank own the property,…