Century 21 Real Estate is a global organization that offers residential and commercial real estate. Century 21 Realtors are independent agents who own a franchise office or work as representatives of the franchise owner. With the abundance of foreclosed properties, many Century 21 real estate agents now specialize in bank-owned foreclosed properties. This type of real estate transaction requires specific knowledge and skills to produce successful transactions.

Many Century 21 Real Estate websites post bank-owned foreclosures directly on their website. Distressed property details include property location, square footage, amenities, asking price, and the name of the agent in charge of the foreclosed property.

There is a considerable difference between foreclosures owned by banks and foreclosed properties sold through auctions. Bank foreclosures are often referred to as real estate ownership (REO) properties. When properties do not sell through foreclosure auctions, they are returned to the bank. When the bank takes possession of the property, the mortgage note is voided and the bank can sell the property for any price it wishes.

Foreclosure properties sold at auction are notorious for having creditor and tax liens attached. When people buy foreclosures at auction, they are responsible for paying these liens before they can take possession of the property. However, when the bank takes possession of the property, it negotiates with the parties involved to remove or reduce the liens.

Another common problem with buying foreclosed homes through auctions is that the buyer will be responsible for evicting the people still residing in the home. When buying foreclosures owned by a bank, the bank initiates an eviction proceeding and the previous owner (or tenants) will be evicted before the property is put on the market. Therefore, bank-owned foreclosure properties are generally less stressful to manage.

Buyers interested in purchasing foreclosures from banks listed through Century 21 Realtors must comply with certain financial agreements. The buyer is typically required to obtain pre-approved financing and provide proof of funds at the time of their initial offer.

Many real estate foreclosures sold through Century 21 Real Estate are sold “as is.” The buyer has the right to obtain a professional real estate appraisal before closing the deal. If the appraisal exposes significant problems with the property, the buyer will have the opportunity to renegotiate their offer.

Two notable benefits of purchasing bank-owned foreclosed properties through Century 21 Real Estate include that the properties are free of liens and no premiums or commissions are paid by the buyer.

Many Century 21 real estate agents specialize in working with private real estate investors interested in buying real estate owned by distressed banks. Other Century 21 real estate agents specialize in working with banks and asset companies that have multiple foreclosed properties for sale.

In addition, several Century 21 real estate agents offer numerous real estate services including listing and selling bank properties, maintenance and security of distressed properties, eviction proceedings, interior and exterior cleaning, and utility maintenance while the property is in for sale.

Bank-owned foreclosures almost always sell near market value. If multiple repairs and renovations are required, REO properties can end up costing more money than they are worth. Therefore, it is crucial to carry out due diligence and ensure that the property is a good investment.

When investing in bank-owned real estate, keep in mind that many people will need to be compensated for their time. The bank wants to recoup the price of its investment and the Century 21 real estate agent needs to be compensated for his efforts.

One way to avoid the middleman is to look for private real estate investors who buy bank portfolios. By buying in bulk, investors can purchase distressed properties at wholesale prices and transfer their savings to you. It is not uncommon to buy bank foreclosures from private investors for as little as seventy cents on the dollar.