HSBC REO Properties

HSBC Bank has about three million customers using its global banking services. It provides a full range of services and banking products to not only to individuals and corporations, but also to banks. HSBC has total employee strength of 14,000. It has a wide footprint in New York State with about 400 branches. It has a few branches spread out in Florida, California.

HSBC REO Process

The REO cycle commences once the bank or the lender takes ownership on the property that failed to sell at a foreclosure auction. The primary of objective of every lender is to avoid further losses on the foreclosed home they originally financed to purchase a residential home. The can do this by shortening their holding period and selling the home at the highest possible price to a new buyer.

The major residential lending institutions have REO departments that are specially constituted to deal with their inventory of repossessed, foreclosure homes. As soon as a property enters the HSBC bank’s REO inventory, it goes through a series of steps, with the final step being a successful sale at a decent price.

HSBC bank’s REO asset managers rely on real estate agents to handle the various steps involved in REO management.

HSBC Bank REO Department Info: Contact Details

The current status of an REO property owned by HSBC Bank can be found through their online website or by calling their REO department. Almost all the properties in their REO inventory are listed through approved local listing agents.

In 2010 and 2011, more than 6 million homes have gone into foreclosure. As most of these homes had little or no equity in rapidly declining real estate markets, most of them failed to attract any interest or bids at foreclosure auctions. When this transpires, the foreclosing lender has no choice but to repossess the property and make attempts to sell it on their own to recover the losses stemming from the homeowner’s default. Major national banks such as Chase, US Bank have a huge inventory of REO homes that they are working hard to reduce through their internal asset management divisions and through external companies that specialize in this specific need.

Before Submitting an HSBC REO Offer

To make an offer for purchase, first check to see if the listing can be found on their REO listing site. If you click through to the expanded profile of the property, you should be able to find information about the REO agent handling the sale of the property on behalf of US Bank. Most REO properties are sold in an “Dutch Option” format. The REO asset manager initially sets the price at a level that they ideally want from a sale. If that sales price doesn’t elicit much buyer interest, the property price is then reviewed every 30 days and, most often, lowered. Investors looking to buy a HSBC Bank owned home may not be able to get a great deal in the initial 30 days from the date of listing. As the time progresses, the bank’s reo department will be more willing to consider negotiations for a sale at a substantially lowered amount than the initial listing price.

In hot real estate markets where the demand is higher, the above mentioned scenario may never materialize. In such cases, an REO investor is better off making their best offer right up front. The best way to assess if the value set by HSBC Bank REO department is reasonable is to consult an appraiser or a buyer’s agent and get the latest comparable property sales. If the listing price is more or less close to the other similar properties that sold in the immediate vicinity, proceed to make a formal offer to buy the REO home of your choice.

If you want to locate real bargains among bank reo listings, the best way to go forward is to consider making bids on properties that have been sitting on the market for at least 60 – 90 days. Additionally, great deals can be availed by opting to buy properties that may be in need of repairs such as fixer/uppers. In rare cases, a REO asset manager may list the price at a much steeper discount to what similar properties may be selling for; when you see such a mis-priced REO property among HSBC Bank listings, pounce on it before others do so.

How do I find out more information about or inspect a HSBC REO property?

Each property is listed with a local Realtor that can answer all your questions and show you the property. You can contact the Realtor by phone at the number indicated on the “REO Listing” or by e-mail. You can also click on the address of the property on most of our listings to link to a description page.

How do I make an offer on a HSBC Bank REO Home?

Contact the real estate broker provided on the listing page of the property. All offers must be on HSBC approved contracts. See real estate broker for details.

HSBC’s Properties for Sale, or Real Estate Owned List, includes residential property acquired by HSBC Bank USA, National Association or HSBC Mortgage Corporation (USA), their Affiliates, or as Servicer, through foreclosure. All properties are listed and sold in “as is” condition without representations or warranties of any kind either expressed or implied by HSBC or its agents. This information does not constitute an offer to sell property. The information provided is subject to change without notice.