What Are FNB Repossessed Houses?
Bank repossessed houses are properties that the bank owns. These properties are originally financed by the bank on behalf of their client. Once the client’s home loan falls into arrears for a number of months the bank will begin the repossession process. Repossession is a costly process for both the bank and the client, and is therefor the very last step the bank is willing to take to recover their losses.
The number of FNB repossessed houses has grown rapidly in recent years. FNB is also launched a process to assist their client to avoid foreclosure. FNB repossessed property are also known and FNB Quick Sell Properties.
Types For FNB Quick Sell Properties
FNB Quick Sell properties are categorized into 3 major categories:
Quick Sell Private Sales – these are houses where the client has appointed FNB to market their property on their behalf. Typically these clients are struggling to sell and struggling to meet their bond repayments.
Quick Sell Repossessed Properties – these of bank repo houses, owned by FNB. Once a client has defaulted and the bank’s reserve price is not met on public auction the property becomes repossessed.
Quick Sell Insolvent Estate Property – these are houses where the clients have been sequestrated and the court appoints a liquidator to manage the estate.
Benefits Of Buying An FNB Repossessed House
FNB repo properties are often sold well below their true market value. The bank is only interested in recovering their losses and are therefor very likely to accept low offers for these houses.
FNB also offers full 100% bonds to buyer of any of their quick sell repo houses. There are no transfer duties payable, which could amount to thousands. All outstanding rates and taxes are paid for by FNB until the date of registration – another huge saving.
100% home loans are also available on Nedbank Repo Houses and ABSA Repo Properties