Frequently-Asked Questions about REO Properties

Question:

What does REO mean?

Answer:

REO is an acronym for "Real Estate Owned."  

Question:

Why would one purchase REO properties?

Answer:

Our clients most often list their properties "as is."  This makes them a great opportunity for individuals to buy and fix up, either as their principle residence or as investment property. Sometimes our clients sell the property in move-in condition.  These properties are marketed the same as any residential sale.

Question:

How is purchasing REO properties different than "regular" real estate purchases?

Answer:

REO properties are owned by corporations rather than individuals.  This leads to significant differences in all aspects of the purchase. See our Buyer's Guide for an in-depth discussion of this topic.

Question:

I have a real-estate agent (buyer's agent) that will represent me in the purchase of property. There is a property listed on the One West web page that I would like to know more about. Should I call One West or should I call my real-estate agent?

Answer:

If you have a buyer's agent that will represent you in the purchase of property it is very important that you have them call One West. One West represents the selling corporation. One West Agents are authorized to act only as Seller’s agent or Sub-agent. Our office policy is to refer all your questions regarding properties to your buyer's agent if you have one. 

Sometimes individuals who have buyer's agents are not pleased when we refuse to answer questions and refer them to their agents. Please understand that our policy is in place to assure that we in no way violate any part of the Missouri Real-Estate Agency Law. 

Question:

Must I have a buyer's agent to purchase property from One West?

Answer:

No. One West agents will gladly assist you in the process of purchasing our listings. All One West agents are experienced specialists trained to sell corporate owned properties.

Question:

What does it mean for the seller to "hold a second"?

Answer:

Sometimes when a buyer does not have all the funds available needed for the purchase of a property, the seller will assist the buyer by crediting  the buyer at the time of the sale for the amount needed and the buyer will sign a note promising to repay the seller.  As with any note, terms between buyer and seller are negotiable; however, most often the buyer agrees to make monthly payments thus has two house payments due each month. The first note recorded when property is sold is the principle mortgage.  The note between the buyer and seller is recorded second...and is commonly referred to as the  "The Second ."