I just bought a house in Pittsburgh for $80,000 and I am sitting on $20,000 equity with $200 a month in cash flow.

The bank frees up the capital so they can make a new loan and earn new fees.Every day an REO sits on the books the bank is in theory losing money from its primary business (opportunity cost).

If a problem come up handle it then dont sit around thinking about because time is money.

One option might sell for a higher price, but if you limit your buyers to a very specific type, then you could be sitting on the market for a VERY long time paying holding costs.

It has been sitting gutted since Nov. 2004.

i don't get in the middle of that.as for hud homes - the general rule is - first 10 days on market - only OWNER OCCUPANTS can bid. you can bid as a non owner occ but the fines ARE HUGE.end of the year/quarter - when houses have been sitting a while - and banks want them off their books - this offers better flexibility.qualifier - i've never actually bought a HUD home.

Not only is the bank there to win, but so is the big buyer who has plenty of cash to work with and is sitting there waiting for new folks to clear out the low balls, then he walks away satisfying the banks needs.Keep in mind that banks answer to investors on a quarterly basis.

I was able to sit in as long as the host (not the guru) agreed to let me speak up if I saw the need.

I have been looking at properties on the MLS that have been sitting for months.

I know that RE investing is what I really want to do, but it has been hard to dedicate the time to really make things happen.With a degree in Accounting, I'm currently working as an auditor while studying to sit for the CPA exam.