Upcoming Foreclosures

How much money must a bank set aside for each REO?

I am doing a project on real estate foreclosures. An important question for me, is the motivation for lenders to NOT take back foreclosure as REO, but to sell prior. One reason would be the requirement that that a bank must have X number of times of the asset value (home value) in reserves and out of its lending budget. Is this true and if so, how much is the X?

Public Comments

1. Hello, You should ask this question at the link below.