What is Bulk REO?
August 13, 2009 
4 Comments
So you’ve decided to enter the world of real estate investing. You’ve heard the term “bulk REO” but what does that mean to you? Well one thing is for certain, the real estate market has taken a hard hit in the last few years. Foreclosures have been at an all time high. For real estate investors, these homes can be a hot commodity. To learn about the bulk REO business, you need to understand how the foreclosure system works.
A homeowner is considered in “pre-foreclosure” when they have missed more then two payments and the bank has started the proceedings to foreclose on the home. This step will go all the way through the public auction phase.
Once a home has reached the auction stage and is auctioned off, then the foreclosure process is complete. However, sometimes these homes simply don’t sell and they revert back to the lender over the home loan. This of course is not what the lender wants. They receive no benefit from a piece of property just sitting there empty. The property is now said to be “Real Estate Owned” by the lender a.k.a REO.
This is where you as a real estate investor comes into play. These REO properties are usually sold for far less then the market value. The only hinge is that usually the lenders want to sell multiple properties in a package deal. So as an investor you want to make sure that you have partnered with someone or a company that has a good funding source. The great thing is that investors are turning sour deals in to something sweet.
REO properties can be very profitable. It takes some time and work to locate these properties but it is well worth it in the end. While it’s sad that that this comes at the expense of someone losing their home, bulk REO properties are the light at the end of the tunnel for the lender and real estate investor.
Bulk REO is a VERY profitable strategy and there’s just one guy teaching it… for $1,500. That’s way too much. So my new course, Bulk REO Secrets, will be on the market in the next few weeks so be on the lookout! And it won’t set you back $1,500. Get Bulk REO Secrets.
Can’t wait!!!
What is the full form of REO?
Full form? The acronym stands for real estate owned if that’s what you mean.