What Is An REO vs Short Sale?

Here's something you might be wondering: What's the difference between an REO property and a short sale?

An REO property is one that has already gone through foreclosure and is currently owned by the bank, which is trying to sell it to a buyer.

A short sale is a real estate transaction that takes place when an owner owes more on the mortgage than the house is currently worth and the bank agrees to a sale for less than the full mortgage balance in order to avoid foreclosure. A property involved in a short sale is not bank owned.

The number of short sale transactions has increased in recent years, and you're likely to run into homes like this on the market as you view properties. As with REOs, short sales can be complicated.


TIP

Despite what you may hear on TV, buying foreclosures is not a get-rich-quick scenario. REOs can offer a way to buy property at below-market prices, but the process is different than an average home sale.

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Janie Eick

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Okoboji Boat Works

Okoboji Boat Works in West Lake Okoboji

Okoboji Boat Works is home to "The Fish Shack" and "The Inconvenience Store". Formerly a marina of thriving boat sales since 1890, OBW now offers up many different rentals, a 24 hour gas dock, excursion boats, and more. I remember the days as a child of fishing for crappie and blue gill here and along the docks of Smith's Bay. Though the scenery has changed, the outstanding fishing has not.

Real Estate and MLS Homes For Sale in West Lake Okoboji

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