Century 21 Real Estate: Investing in Bank Owned Foreclosure Properties

Century 21 Real Estate is a worldwide real estate organization that works with both buyers and sellers. Century 21 agents are Independent Realtors who either own a franchise office or work as an employee of the franchise owner. Many of these agents specialize in bank owned foreclosure properties and possess the skills required to produce successful transactions in this specialty niche.

Many Century 21 Real Estate agents publish bank owned foreclosures directly on their website. Keep in mind there is a difference between bank-owned foreclosures and foreclosure properties sold through auction. Bank foreclosures are also referred to as real estate owned (REO) properties. When foreclosure properties are not sold through auction they are returned to the bank. Once the bank retains possession of the property, the mortgage note is voided out and the bank can sell the property for the price they desire.

If creditor or tax liens are attached to the property, the bank usually negotiates to have them reduced or removed. If the previous property owner refuses to leave the premises, the bank initiates eviction proceedings. With foreclosure properties sold through auction, the Buyer must take care of these transactions and eviction. Therefore, bank owned foreclosure properties are generally less stressful to deal with.

When bank foreclosures are listed through Century 21 Realtors, buyers are required to adhere to certain financial arrangements in order to purchase them. Typically, the Buyer is required to obtain pre-approved financing and provide proof of funds at the time of their initial offer.

The majority of REO properties sold through Century 21 Real Estate agents are sold "as-is." However, the Buyer is able to obtain a professional real estate appraisal prior to closing the deal. Should the appraisal reveal problems with the property, the buyer has the opportunity to renegotiate their offer.

Two major benefits of purchasing bank owned foreclosure properties through a Century 21 agent include the properties are free of liens and no buyer premiums or commissions are paid by the buyer.