Bank owned (REO), short sale and other distressed properties are sold “as is” and often take much, much longer to close escrow as lenders often withhold permission for a sale till the last few days before the foreclosure sale in hopes of getting a better offer. Some REO properties have been neglected, and even stripped and vandalized.
That’s where you have an advantage! You can perform needed inspections even before an offer comes in; that way you can reassure buyers about the condition of the house. Another thing to give you a competitive edge is to pay all or part of your buyer’s closing costs, anywhere up to 6 % of the agreed price. This can be a great advantage, since it relieves some of the cash requirements for cash strapped buyers; meaning more people can qualify to buy your home.
Remember this; in this real estate climate, the buyer is in charge with lots of choices and the constant temptation to wait for prices to drop even more. If you don’t have an offer in the first month, the market is speaking and you may have to make a price adjustment.
