Competition among real estate investors
The bank owned property that draws the most competition among real estate investors and other cash buyers is the homes that qualify for first time home buyers. These bank owned properties are perfect rental properties. They are perfect rental properties because when cash buyers buy these homes at such a cheap price and then rent them, their cash flow is in the positive numbers from the get go. Homes that are fixer uppers can be remodeled and then flipped to first time home buyers. These homes are also attractive to cash real estate investors because of their low cost and quick turn around on the profit when they resell.
