What Is An REO vs Short Sale?

Here's something you might be wondering: What's the difference between an REO property and a short sale?

An REO property is one that has already gone through foreclosure and is currently owned by the bank, which is trying to sell it to a buyer.

A short sale is a real estate transaction that takes place when an owner owes more on the mortgage than the house is currently worth and the bank agrees to a sale for less than the full mortgage balance in order to avoid foreclosure. A property involved in a short sale is not bank owned.

The number of short sale transactions has increased in recent years, and you're likely to run into homes like this on the market as you view properties. As with REOs, short sales can be complicated.


TIP

Despite what you may hear on TV, buying foreclosures is not a get-rich-quick scenario. REOs can offer a way to buy property at below-market prices, but the process is different than an average home sale.

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Aaron Jones

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Community Updates

"Turn-Over" Thermocline

Referred to locally as the lake turning over the thermocline is a feature of lakes with deep water. The water on the top of the lake changes temperature much more variably during the year. On West Lake, it can reach as much as 75 degrees in July while the water below, greater than 35 or 40 feet deep is relatively stable around 45 degrees. In the fall and early winter, the top strata of the lake will cool to below 45 degrees, and then because it becomes denser, it will "sink" below the lower strata, thus, displacing it and making the lake "turn-over". In the deepest part of West Lake (near the 136ft mark), no light is availble, and hence little life is known whether fish or plant. Typically questions are raised as to why the surface water gets dirty for a short period of time in the fall, this this is the standard answer.

Real Estate and MLS Homes For Sale in West Lake Okoboji

Bridges Bay Resort

Bridges Bay Resort in East Lake Okoboji

Bridges Bay Resort is built on the land purchased a few years prior which used to be owned by the Nielsen family of Arnolds Park. This huge complex consists of a hotel, 3 condo buildings (a 4th is under construction), and over 100 vacation cabins. A popular part of the resort is the indoor waterpark that cabin and condo owners have access to, but also, so does the public for a fee. Braccos is a fantastic summertime restaurant and bar which is frequented by boat, by car, and by foot, especially from the owners of the condos and cabins. All of the units at Bridges Bay have an opportunity for a boat hoist, and it is an extremely popular destination for out of towners looking for a vacation spot in Okoboji. Because Bridges Bay is not within the city limits, many owners utilize property management companies to help them rent their units by the day, week, and month. I've personally sold and shown many condo and cabin units and would be delighted to help.

Real Estate and MLS Homes For Sale in East Lake Okoboji

The Family Diner

The Family Diner in Spirit Lake

The Family Diner is Spirit Lake, IA is a local favorite! They offer up a large portion for small money, but whether you come early or late you may be in for a wait. With homemade bread and the largest sausage patty you have seen, The Family Diner is consistently delicious. They are open only for breakfast and lunch and closed two days a week. In my former career at Stylecraft, the family diner was definately a favorite when our friends would visit from North Carolina. They were always inpressed with the bread and rolls and corn beef hash.

Real Estate and MLS Homes For Sale in Spirit Lake

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