what is real estate owned reo 
the term real estate owned reo refers to a lender owned property that is not sold at a foreclosure auction properties become reo when owners default and the bank repossesses them and tries to sell them the lender which is often a bank takes ownership of a foreclosed property when it fails to sell at the amount sought to cover the loan these properties generally come at a steep discount but may require extensive repairs investopedia zoe hansenunderstanding real estate owned reo properties