“Can anyone have any experience with bank owned property? What is a good rule of thumb while making an offer on such property”
Don’t go crazy. Today’s buyer is not responding to REOs like they used to. Many of them are now listed higher than market unlike in 2008 and 2009 when they were almost always listed under market. There are now several REOs listed in my area and it is like someone dropped a stink bomb on them. They are sitting. Right now you can probably get just as good a deal if not better from a regular motivated seller. REOs are apparently also automatically red flagged by the county assessor’s department and you could end up paying higher taxes than you expect. Definitely try to buy something where the current assessed value is lower than your purchase price.
