Originally posted by @Alberto M.:
@Eric X.
Thanks for sharing this information.
On the REO side, do you always buy cash or have you used leverage? If you have, how is that process done? How do you deal with the bank/lender that owns the property? What timeframe for closing they give you? Are you allowed to perform inspections? Average inspection period?
Thank you in advance for sharing your knowledge.
@Alberto M.
Cash makes things simpler. Homes in poor condition, from wholesalers, and sometimes on the MLS all require cash since it wouldn't appraise due to condition. Well for MLS & Online REO you deal with a settlement company and or closing company so they are the conduit usually. Courthouse auctions you bid and buy. No Bank involved.
MLS you have a listing agent so you don't really talk to the bank directly at all. For the ones that you can get into you can usually do an inspection but sometimes the utilities won't be turned on for that inspection.
It is much cheaper to buy cash and they do a cash out refinance than to buy with a mortgage. Thousands saved in closing costs as well.
