We have noticed that things really slowed down in REO sales with a lot of lenders in the last quarter. Suspension of foreclosures to look into the “robo-signer” issue caused some of that and the potential of defective foreclosures due to those problems gave lenders a reason to halt sales. In most non-judicial states like California, Arizona, Texas, and others the issues never did present much of a problem but the lenders were being very cautious, especially during election season. No doubt there are defective foreclosure actions. No doubt they will be cured and foreclosures will pick up steam again and cause a rash of new REO’s the banks will have to deal with.
Right now banks that are selling REO in California, Arizona, Texas and Hawaii among others are anxious to move the assets off the books by year end. Now is the time to make a year end push for investors to get some properties at a better price than a few months ago if you can close before December 31, 2010. Get busy! Use your research tools and get to the banks or the REO agents and make some offers.
