Savvy Contractors Will Make a Difference in the REO Marketplace!

Knowledgeable real estate experts know that foreclosed properties are taking a long time to finally making their way back on the market – to transition to REO (Real Estate Owned) listings. Back in February, RealtyTrac.com estimated that up to a shocking 70% of foreclosures still weren’t on the MLS yet. 

One large reason for the delay? Because of the explosion of the number of foreclosures in recent months, banks can’t keep up with processing the individual properties. That means they sit untended, unsecured and unoccupied for longer periods of time – leaving these homes open to vandalism, threat and damage. 

That means that, by the time property preservation companies are finally called in, there’s more much more substantial rehab work to be done on these homes. The lawn is usually a disaster, the plumbing can need major repairs and there is probably rotting food in the refrigerator. 

Ideally, the “trash-out” of foreclosures should be accomplished as soon as possible to ensure these properties don’t deteriorate to a point where the house becomes unsafe and they’re unsuitable for market. The recent foreclosure moratoriums made that process difficult for many properties – and now, that the moratoriums are over, there is a huge backlog of foreclosures to process. 

To get a real sense of what’s involved in cleaning out a foreclosure, a video produced by a AIRCOOLCALIFORNIA market specialist's  posted below: