REO'ing In SE Michigan
Hi everyone, I'm new here but have enjoyed and learned from everyone's posts. I'm gathering that profitable investing in REO's can vary by region. For example, it sounds like it's hard to get good discounts on REO's in some places in California. Has anyone on this board tested the waters in southeastern Michigan? It's not really a "hot" market here so I'm hoping there are some bargains to be had. I'm going to begin my foray in a couple weeks here and am trying to gather some preliminary info.
Thanks, Chris
I've only been at this a few months, so I'm not a long-term expert at all, but the few that I've seen in my town have sold for above listing price, with multiple offers in the first 2-3 days. My realtor told me that's the way most have been lately.
Now, keep in mind that there is still plenty of profit to be made. At least I sure hope so since I bought one of them.
As I understand it from him, the banks have listed them low enough to attract investors because they want to clear them off the books fast. These are lower-end homes and they didn't want to wait around for a retail buyer -- who might have credit issues, etc.
Of course, your mileage may vary. If you have a realtor you trust ask them. They will generally have a much better feel for the local market than those of us who are part-timers and/or newbies.
Thanks Thuntermi for the feedback. I'm in the process of locating a realtor but getting real curious about the local market so I couldn't resist posting here as most of the contributors seem to be great.
Chris
Thuntermi, by the way can you give me a feel for the discounts you have seen relative to the "after rehabbed value?"
Thanks again, Chris