Bank Owned, Auctions and Important Definitions you need to know
(Certified REO Agent and Experienced in Short Sales)
For details on Bank Owned and Homes up for Auction - contact Griselda.
Bay Area Auctions: http://www.ushomeauction.com/ http://www.hudsonandmarshall.com/
Bank Owned For Sale with Coldwell Banker Solano Pacific : http://www.solanopacific.com/reo.html
Definitions you Need to Know:
Foreclosed Home
A foreclosed home is one where the property used to secure a dept is sold to pay off that debt because the borrower has defaulted, or failed to make timely loan payments. When the borrower does not make payments for a time specified in the mortgage contract, the lender can sell the property to pay off the loan. Because the lender wants to recover its investment in the foreclosed home promptly, foreclosed homes often sell at a reduced value.
Short Sale
When a bank or mortgagelender agrees to discount a loan balance due to an economic hardship on the part of the mortgagor. The home owner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender in full satisfaction of the debt. In such instances, the lender would have the right to approve or disapprove of a proposed sale.
Deed in Lieu of Foreclosure
Is a deed instrument in which a mortgagor (i.e. the borrower) conveys all interest in a real property to the mortgagee (i.e. the lender) to satisfy a loan that is in default and avoid foreclosure proceedings.
An REO (Real Estate Owned) is a property that goes back to the mortgage company after an unsuccessful foreclosure auction.
Foreclosure sales begin with a minimum bid that includes the loan balance, any accrued interest, plus attorney's fees and any costs associated with the foreclosure process. If you are the successful bidder, you receive the property in "as is" condition. There may also be other liens against the property. Call me for mre details.
Websites to go to for more information
Consumer Home Mortgage Information - http://www.yourhome.ca.gov/
Official
National Association of REALTORS® - http://www.housingmarketfacts.com/
HUD - http://www.hud.gov/
Avoid Foreclosure - http://portal.hud.gov/portal/page?_pageid=33,717348&_dad=portal&_schema=PORTAL
The Federal Reserve Board - http://www.federalreserve.gov/pubs/foreclosure/default.htm
Download - http://www.hud.gov/offices/adm/hudclips/forms/files/pa426h.pdf