They are often sold at a discount, but they can come with significant repair needs since they are usually sold as-is.### Due DiligenceBefore buying an REO property, conduct thorough due diligence.

Cold callWill piss them off, and you are reaching people that do not want to sell their house especially not at a discount.

, caulking (re caulk all the bathrooms), landscaping and grass (1 dead plant that needs replaced, bald spots in the yard).

The last variable to figure out is what discount to buy at.

Without knowing anything about your financial criteria for buying, I'd say maybe doing a live in BRRRR with a value add (another bedroom, bathroom) for appreciation and building wealth. 

Reality check:  how many homeowners are going to sell you their house at such a substantial discount? 

For example my simple spruce up would be, renno bathroom, and kitchen, paint, and redo carpet upstairs.But if i think real deep into what I could do to make it a STUNNER then I think, knock down walls, create more open/broken floor plan, add central air, possibly do an addition to add a 3rd bedroom and second bath.So when you could do ANYTHING .. how do you draw the line of what you should do?

On the HUD statement, realtor gets commission and you and your JV partners would split the assignment fee.In order for this to work, the property would have to be deeply discounted OR you have a retail end buyer.

If you look into this option my electrician told me the specific panels and meters I needed and recommended I buy them on EBay where there is at least one electrical supply company that sells brand new electrical equipment at a significantly discounted rate.

-- We typically start with an exterior front, then go to kitchen and nicest bathroom.