Cash or Credit for Your REO Purchase?
Cash is the obvious dominator with overall Las Vegas Area REO Purchases. Cash not only dominates but CRUSHES financed purchases under $75000. The primary reason is the stuff priced under $75000 is unhabitable and ineligible for financing or is condo ineligible for financing.
Asset managers for REO also may choose cash offers that may be lower than financed simply because financed offers have exceeded their appraised price on the property or because there are less contingencies and they can close quicker (which takes the asset - or liability - off of their books quicker.)
Condo financing is currently a challenge in the Las Vegas Area. Lenders want to see low investor concentration, low HOA deliquencies and no construction defect or other litigation against HOA or community. To determine if a condo is eligible for financing, a condo certification may be ordered from the HOA (this does cost money) and have it run by an underwriter.
Whether you are all cash or a financed buyer, you can search Las Vegas Area (Henderson & North Las Vegas too) homes right here for free and no obligation!
I am seeing a lot of cash purchases around here and cash is King. Is your market still picking up?
Renee - While cash may still be king in Vegas too, it looks like FHA is making a dent in the market too.
Renee,
Thanks for your Las Vegas market insights. While our market seldom presents the low prices of Las Vegas the principal that cash-is-king still holds true.
Steve
Gene: Slowing down a bit actually. We need the inventory so this is a good thing, for now!
Donne: Wouldn't we both just love to see those financed buyers finally get a home?
Steve & Joel: Awesome news!
Renee,
Cash buyers are definitely in the driver seat.....
Thanks for sharing,
Lori Cofer