Newport Beach REO home buyers usually face the challenge of competing with multiple offers on the properties. Also, Newport Beach REO home buyers are competing with cash buyers as well.
Newport Beach currently has an inventory of REO or bank owned homes. Currently, there is one active listings, four in back up, four pending, and there have been six sales Newport Beach bank owned sales in December, 2011.
There has been a total of 55 REO sales in Newport Beach in 2011, compared to 61 REO sales in 2010.
There is a low absorption rate of the REO property as you can see on the graph. These properties move quickly as buyer’s perceive them as the best deal. Keep in mind when buying an REO property – they are purchased “as is”. Also, remember that the bank will want fair market value and go to great lengths to obtain that value, including obtaining several BPO (broker price opinions) and appraisals.
In my opinion, the absorption rate will remain low, as the inventory of the REO properties is so low.
Sharon Paxson REALTOR®