REO Properties in Tucson

Over the last four months, I’ve represented two buyers who have bought REO (this stands for “Real Estate Owned”) properties in Tucson. If you haven’t heard yet, these are the properties that are owned by banks. Mainly, they are properties that failed to sell in a foreclosure auction.

Both of the buyers I represented got fantastic deals on nearly new homes. Ironically, both the two homes were built in 2006, and their sales prices were within $7,000 of each other (average sales price of the two homes was $153,500). For both buyers I represented, I was able to negotiate that the bank seller pay all of their closing costs, and both buyers closed within 30 days. Both houses were in great condition, and they both came with all the kitchen appliances (one even came with a refrigerator). Believe it or not, neither house had holes punched in the walls, or were in any way destroyed by the owner who was foreclosed on (a prevailing theme for many bank owned homes).

Many buyers are under the impression that bank owned properties are stigmatized. Not always the case. There are some real gems out there, and the current market presents itself as a wonderful buying opportunity for Tucson home buyers. The bottom line is that if you are buying a home in Tucson, don’t overlook the bank owned homes! There are some great deals out there, and many of them require minimal down-payments. FHA is 3.5% down. You have to pay your down-payment yourself, but often you can get the bank owned seller to pay your closing costs.

Finding a good bank owned home reminds me of the old saying about “kissing a lot of toads” before you find the right one. Just keep that in mind when you’re looking at them, and above all- be patient, and make sure you find a Realtor who is too…

a 2006-built REO property that I recently sold on Tucson's west-side