Bank not listed as owner?

[Sydney Reece]

I have no real estate background. I am interested in purchasing a bank owned home, but I wondered why the courthouse does not list the bank as owner? It still has the previous owner who failed to make mortgage payments as owner. I know the bank "owns" the property now, but I don't see proof on paper. Is this unusual?

Also, the property has a sign that simply says "Call with offers" and lists the bank's number. What's the best way to approach verbal offers? Do you simply call and throw out a number? Is it ever OK to email offers? Can I back out if I do either of these things?

[Eric M.]

This is an unusual situation. Most banks do not sell their REO themselves, they hire realtors to do it. So you are just going to have to play this one by ear. You can't really say the wrong thing. Just call and ask questions. Find out who is handling the sale. Ask to view the insde of the property. Just get as much info as possible.
Then calculate the price you want to pay and get your financing arranged and make the offer. Doesn't matter what they are asking or what the loan amount was or who defaulted.
Just make the offer you want to pay and see what they say.
It is very common for banks to be just as stubborn and unrealistic about price as regular sellers. Even if they don't accept your offer, keep an eye on it and make another offer down the road. Things change over time.