Bank Short sales and Bank REO

There is a difference. A Bank short sale is where the owner still has the home and can make an initial decision on a purchase contract, but the final decision for acceptance is with the mortgage holder.

The Bank REO is property owned by the bank and was not purchased at the foreclosure sale. Here the bank makes the final decision.

Both can be good buy's investment wise, but the buyer needs patience as these deals can take weeks and even months before total acceptance. But they can be well worth the time.