Common AcronymsHomebuying Glossary
REO
Also known as Real Estate Owned
A property owned by a bank or lender after it failed to sell at a foreclosure auction.
In plain English
REO properties are owned directly by a lender after a foreclosure auction didn't result in a sale to a third party. Banks typically sell these through standard real estate listings, sometimes at a discount.
Why it matters
REO homes can offer value but often come with more uncertainty about condition and are typically sold strictly as-is.
Where you'll run into it
Guides and tools on TheBuyingPath that cover reo in context.
Related terms
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