REO stands for real estate owned properties. They are properties that are reclaimed by banks as well as other mortgage lenders due to the default on the mortgage by the owner. The lender is now the owner and naturally would want to put up for sale the properties in the shortest time which explains why they are often offered at bargain prices. Just before getting over excited by the price which might strike you as a deal of a lifetime, you need to understand about several of the risks involved in order to take full advantage of your investment. Bonuses

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