Welcome to my first blog post about Charlotte foreclosures, Charlotte short sales and Bank owned property. First Some definitions:
Charlotte Foreclosures
This can have broad meaning, the way I use it on this site is to mean bank owned homes that have already been foreclosed upon, therefore the buyer offers go to the bank. These are the best deals in Charlotte typically. The bank usually has bought the home for thenote amount, and will take substantially less to get it off their books.
Short Sales
Short sales are defined by the selling of home below the price neded to pay off the loan, and all expenses at closing. These occur before a house goes into foreclosure, happen with lender permission and must be lender approved. The average wait time on a response to an offer is 30 days, and it takes 60-90 days to close. There are oppotunities here for the patient.
REO
REO stands for real-estate owned, or bank owned, or foreclosed property… see above for the definition.
In Foreclosure
Foreclosure is a legal process that varies from state to state. It involves the first step, a Notice of Deamand, and then follows a pattern of notices to the lender and other note holders. Who can put a house in foreclosure? The lien holders- and who are they? Typically the bank(s) who hold the mortgage, the taxing authority and any HOA or Condo assocition. Each can put the home into foreclosure through legal action for non-payment. The home then goes to foreclosure, an typically, the note holder buys the house, often at the note amount, protecting their interest. Home buyers can buy a home here, but unless the note value is way under the house value, it is often better to wait until after the process and it becomes bank-owned.
