Frequently Asked Questions
About Our Business
CastleRock REO is one of the nation’s leading wholesalers of foreclosed homes. Our long standing
relationships with lending institutions and our ability to fund large bulk purchases of homes allows us to
purchase properties at huge discounts. Because of this we are able to pass those savings directly on to our
investors!
Founders of CastleRock REO have been in the real estate business for over 30 years combined. They have been
featured on CNN, NY Times, Connecticut Post, Fairfield County Business Journal and numerous other
publications. With an established track record of successfully and profitably managing distressed
residential and commercial real estate assets, our team has completed in excess of two thousand transactions
with a total value in excess of $150 million. Our experience in real estate finance, development, and
management, demonstrates our ability to handle all aspects of REO transactions. We pride ourselves on our
high standard of ethics. Head on over to our testimonials page to read first-hand accounts of some of the
people we have helped buy a home.
Amazingly, many of the homes we sell previously sold 5 years ago between $100,000 and $200,000. Due to the
massive amount of foreclosures which took place over the last few years, banks are literally selling them
for pennies on the dollar. CastleRock’s long standing relationships with lending institutions and our
ability to fund large bulk purchases of homes allows us to purchase at huge discounts and in turn sell at
discounts to the public.
CastleRock REO purchases and sells home across the entire country. Most of our homes are located in the
Midwest, Southeast, and Mid-Atlantic regions of the United States. If you see that we do not have a home in
a particular state, don’t worry. Since we are constantly purchasing properties, you next home may be weeks
away from being added to our inventory. See our properties page for a full list of current homes for sale.
Properties
We encourage anyone who wishes to purchase a home from us to visit the property in order to fully inspect
and assess the property. Once you have located a home of interest we recommend you call the assigned asset
manager and set up a time to view the property. Due to our large inventory, we have several asset managers
that are assigned different homes across the country. You can locate the info of your asset manager on the
side of the property page. Once you set up a time to view the property, we will provide you with a unique
code in order to gain access to the home.
Each one our homes that we sell are unique and are all in varying conditions. The majority of our homes need
work and repairs. However not all of them do. In order to fully assess the physical condition of the
property we encourage you to do all of your own due diligence. This includes touring the property and
inspecting it to make sure you are fully aware of the condition and any physical defects. Since we have not
been in any of our properties we do not make any representations as to the condition.
The majority of our homes that we buy have been winterized. In addition, the power and water most likely has
been shut off temporarily. If you purchase a home, please contact the appropriate municipalities and
companies in order to restore the utilities.
A common question that comes from most of our buyers is how we sell our homes without physically being at
the property. Due to our large inventory and headquarters outside of New York City, we are not able to visit
the homes we sell. However, all of our homes have been physically inspected and researched by our research
department as well as our team of inspectors nationwide. These inspectors are able to give us an evaluation
of the properties current condition.
Liens and Taxes
Since our properties have recently gone through the foreclosure process most liens have been wiped out. The
only taxes/liens that stay with our properties are delinquent and current taxes (if any), delinquent water
bills (in certain areas) and housing code violations. We are happy to share any information our research
department has obtained relating to liens, back taxes, etc. However, we do not make any representations and
recommend that you do your own due diligence to confirm. If you have further concerns you can order a title
report which we can assist you in obtaining. Title reports generally run between $150 and $300 depending
upon location of the property and title company.
Title and Deeds
Most of our buyers obtain title through a quit claim deed. This is how we receive title from the banks and
how we transfer them to our buyers in most cases. There is a $295 deed recording fee which is the only
closing expense if you take title with a quit claim deed. The other option is to obtain a special or limited
warranty deed through a full closing, in which case you will have to obtain title insurance from a third
party title company.
If you chose to use a title company you should be aware that title insurance will only cover the cost of the
house and does not cover any improvements you make or any appreciation over time.
A quit claim deed essentially transfers whatever rights the existing owner/grantor has in the property, but
includes no guarantees that clear title exists. Quitclaims do not guarantee the title is clear of liens,
such as tax liens, mortgage liens, mechanics liens and the like, or that there are no other owners on title
as well as the grantor. The interest the grantor has is what the grantee gets. Quitclaim deeds are by far
the easiest, quickest, and least expensive to use, and require little professional assistance.
A special or limited warranty deed is less protective to the buyer than a general warranty deed. The grantor
of a special warranty deed conveys the property with two warranties: that he or she received the title to
the property; and, that the property was not encumbered during his or her ownership. The grantor of a
special warranty deed warrants the title only against his or her own omissions and/or defects, and warrants
nothing pertaining to the title prior to his or her possession.
The deed to the property remains in CastleRock REO’s name until the note is paid in full. The deed is
transferred into buyers name once all terms of the note are fulfilled. You have the option to pre pay at any
time or make additional payments to reduce principal without penalty.
Purchasing
When purchasing from CastleRock REO we offer two methods of purchase.
- Cash Purchase (Cash for Deed)
- Owner Financing (Land Contract / Contract for Deed)
The easiest, most simple and cheapest way is to purchase a home from CastleRock REO is through cash. We are
able to give you the best possible pricing this way. When it comes to paying in cash we accept the
following.
- Wire transfer
- Certified bank check
- PayPal
If you are unable to come up with the entire cash price at once we offer owner financing through a land
contract (also known as contract for deed). Our owner financing is offered through a 20 year note at a
fixed rate of interest. The financed price is typically based on a note amount higher than the cash price
you see on our website. In order to get owner financing for one of our homes,
you need to fill out an application and get approved.
There are no pre-payment penalties and we encourage you to refinance and pre pay the balance of your note at
any time. Your monthly payments, which include taxes, are typically less than average rent in the
neighborhood, making this an incredible opportunity for renters to become home owners.
- Stable income for at least a year.
- Able to fix, maintain, and make necessary repairs to the home.
-
Combined monthly net income requirement:
- Note Amount of $25,000 Or Under: $2,000/Month minimum income
- Note Amount of $25,001 – $50,000: $3,000/Month minimum income
- Note Amount of $50,001 – $75,000: $4,000/Month minimum income
- Note Amount of $75,001 – $100,000+: $5,000/Month minimum income
Miscellaneous
Yes! Many of our properties are listed on the MLS with local realtors. Please email us at
sales@castlerockreo.com if you would like to be added to our
list of potential realtors. Please include all
the following information so we can add you to our vendor database.
- Name
- Company
- Phone Number
- Address
- Website (if applicable)
- Counties Served
If you still have any questions, please do not hesitate to contact us.
Email us at sales@castlerockreo.com