Buying A Foreclosure: From A Bank

The primary driver for buying REOs is the potential for a below-market purchase price. Lenders are generally eager to sell to avoid the ongoing burdens of property taxes, maintenance, and insurance.

: For buyers willing to invest in renovations, this discount can create "instant equity," where the total cost of the home plus repairs remains lower than the market value of a finished home. buying a foreclosure from a bank

: Foreclosures often sell for 10% to 15% (or more) below market value. The primary driver for buying REOs is the