Share

REOs and Bank-Owned HomesREOs and  Bank-Owned homes are in short supply within our San Diego real estate market. And short sales aren’t much better.

More and more, these transactions are coming to resemble e-Bay transactions. It’s so frustrating for a buyer to submit a bid, only to find out there are 12 other competing bids on the table. But don’t give up. Here are some of the things you can do to increase your chances for successful foreclosure (as well as short sale) bidding:

1. Prior to submitting an offer, we speak with the listing agent to “seek guidance” for our buyer’s offer–especially when we are in a competitive situation. It doesn’t always work, but when we know how other offers stack, we stand a much greater chance of winning the bid.

2. Be thoroughly pre-qualified with a direct lender and have that letter on hand to submit with your offer. If a cash offer, be prepared to show proof of funds that can be submitted with your offer. Feel free to black out account numbers.

3. Propose a fast closing date with no contingencies. Lenders like speed and certainty–at least from you. Lenders may or may not reciprocate.

4. Present a strong earnest money deposit. For example, we recommend at least $5,000. on almost any offer of substance. That deposit, if your offer is accepted, goes towards down payment and/or closing costs. Any excess would be refunded to you. A strong deposit indicates a strong buyer.

5. Finally, and most importantly, do not get emotionally involved with the transaction and the home until you know your offer is accepted.
Another thing we suggest–and when there are no other offers on the table–is to ask the listing agent to place the property as “pending” if you submit a reasonable or full price offer. It’s a long shot that occasionally works–and helps insure a successful transaction. No buyer feels secure with the prospect of overbids possibly trumping his or her offer. We have had this happen on a couple of occasions and watch listing status carefully.

We have found that foreclosures generally close more quickly, compared to short sales in the San Diego market. Lenders are also more demanding with foreclosures and will frequently insert hefty per diem charges into their counters for any delays that result from buyer’s side. We have a transaction now, where lender wants a 3-week closing and $100. per day for any delays beyond that time. Buyer will likely need an extra 15 days and will gladly pay the additional $1500. because the deal still makes a great deal of $en$e.
Good luck in finding your San Diego dream home, whether it’s a short sale, equity sale or foreclosure. Your timing could hardly be better with record low interest rates and dwindling inventory levels.

In the meantime, if you would like to search for those rare REOs and bank-owned homes, you might try searching for those active listings in San Diego and outlying regions below:

1127 Koch Lane San Jose, CA 95125

$1,275,000
3 Beds
2.5 Baths
2,400 SqFt
Status Pending
MLS # ML81780123
Property Type Single Family Residence
Price Type --
Price Reduced almost $150 K ! Bank owned REO in very good condition located in prestigious Willow Glen neighborhood. Large 9,150 sq.ft. lot. Hardwood floors, tile floors. Skylights in family room make for a very light, open feel. Separate Florida room in rear. Large backyard with fruit trees. Dual pane windows. Roof appears to be metal, buyer to check. Systems of house are not warrantied, buyer to have their own inspections. Fireplace may or may not be woodburning, not tested.

Malibu CA 90265

$850,000
3 Beds
3 Baths
3,146 SqFt
Status Active Under Contract
MLS # 20554578
Property Type Condominium
Price Type --
Short sale subject to lender approval. Fixer - needs a lot of work. As is.

3281 Reche Rd Fallbrook, CA 92028

$800,000
3 Beds
3 Baths
2,890 SqFt
Status Pending
MLS # 200010323
Property Type Single Family Residence
Price Type --
This property it is Short Sale all terms and condition are subject to short sale approval the house facing view from 16x8 foot window.from the living room the garage was converted in to room this house has avocado trees a,lemon trees and grapefruit t this house has fire sprinkler system ,has surround sound system.floor it bamboo wood floor and the door's made from solid wood very good quality Equipment: Fire Sprinklers,Garage Door Opener Sewer: Septic Installed Topography: ,,LL Frontage: Canyon, Open Space

2460 Helix St Spring Valley, CA 91977

$375,000
4 Beds
3 Baths
1,912 SqFt
Status Pending
MLS # 200017140
Property Type Single Family Residence
Price Type --
Short sale, property has had deferred maintenance for years. Needs plenty of work too much to list, Buyer & their agent to verify all information before the close of escrow. Sewer: Sewer Connected

19733 Sunset Topanga, CA 90290

$1,398,000
3 Beds
3 Baths
2,716 SqFt
Status Active
MLS # IV20090321
Property Type Single Family Residence
Price Type --
Have you always dreamed about having a home on a large lot, with views, out of the hustle and bustle yet not far from the beach and freeways. This executive style home nestled on approximately 1/4 acre in Topanga Canyon has it all. Relax in tranquility at home or venture out a short distance to outdoor recreational activities, an array of cuisines, shopping, and entertainment. Don’t let this rare opportunity to own a piece of paradise get away from you! All potential buyers are asked to check with city and tax records to determine actual bedroom, bathroom counts and all details. This is a REO Property.

7907 Wilbur Avenue Reseda, CA 91335

$380,000
2 Beds
1 Bath
952 SqFt
Status Pending
MLS # 20615642
Property Type Single Family Residence
Price Type --
Great opportunity for investors/buyers who are interested in purchasing fixers! Do not disturb occupants. Short sale pending lender approval. AGENTS: PLEASE READ AGENT REMARKS. Due to property condition this property will not qualify for FHA. PROPERTY NEEDS WORK!!!! HURRY!!!!!

1836 Crenshaw Boulevard Los Angeles, CA 90019

$799,000
3 Beds
1 Bath
2,252 SqFt
Status Pending
MLS # PW20214902
Property Type Single Family Residence
Price Type --
Great opportunity for savvy investors. This property is located in the Arlington Heights area in the Mid City neighborhood of Los Angeles. It is close to shopping, schools and transportation, Centrally located it is accessible to most venues in the City from Downtown LA, Hollywood, Inglewood and the beach cities. Zoned R3 and located in a Transit Priority Area( TOC Tier 3) and not a HPOZ this property is perfect to be redeveloped into a premier property with plenty of potential for you. REO property will be delivered tenant occupied in AS IS condition, No repairs, no termite report. Buyers to conduct their own due diligence. NO PROPERTY ACCESS,DO NOT DISTURB OCCUPANT, CASH OFFERS ONLY!

3364 Nolina Street Baldwin Park, CA 91706

$459,900
2 Beds
1 Bath
939 SqFt
Status Pending
MLS # RS20229294
Property Type Single Family Residence
Price Type --
BANK OWNED! Calling all investors. Two bedroom house with a huge lot that may allow you to build a larger home and/or ADU. Nicely located near freeway access and several shopping centers.

7411 Stanford Avenue Los Angeles, CA 90001

$320,000
6 Beds
2 Baths
1,314 SqFt
Status Pending
MLS # PW21037130
Property Type Single Family Residence
Price Type --
SHORT SALE Subject to lenders approval. NEEDS TLC MUST SEE.

13334 Brianhead Court Victorville, CA 92394

$399,000
5 Beds
2.5 Baths
2,270 SqFt
Status Pending
MLS # SR21076284
Property Type Single Family Residence
Price Type --
SHORT SALE!!! YOU ARE INVITED TO MAKE THIS RESIDENCE YOUR DREAM HOME. 5 Bedrooms, 3 Bathrooms on a Spacious Single Level Cul-De-Sac in Victorville. An Open Floor Plan with Carpeted Living Room, Dining Room with lots of Natural Lighting. Island Kitchen, Tiled Flooring, Fireplace, Dining Area, Ceiling Fans, In Door Laundry Area 2 Car Garage, Paid Solar. Close to all Shopping Areas and 15 Fwy.

3637 Street San Diego, CA 92105

$500,000
2 Beds
1 Bath
1,457 SqFt
Status Pending
MLS # PTP2104606
Property Type Single Family Residence
Price Type --
Short sale fixer.

5889 Brentwood Street Los Angeles, CA 90003

$549,000
4 Beds
2 Baths
1,959 SqFt
Status Pending
MLS # 21765700
Property Type Single Family Residence
Price Type --
Probate sale, submit offers, property will not be provided vacant. it will be up to the buyer to work with the occupants to vacate or evict. Occupant is a relative of estate. Occupant maybe open to cash for keys. Final off my make the sale a short pay on a reverse mortgage. Winning offer will get to see interior and meet with occupants. Note zoning is R4Q do your homework. Great property to rehab house and add ADU in the back... Great potential... we are working on short sale approval now...