Banks have Big REOs too

Most people think that bank REOs are all run down little shacks that need to be fixed up. Maybe in the old days that may have been true. In California, even mansions can become bank REOs.

Check out this Jim the Realtor video:

A monument to the bubble excess - this was built as a personal residence with the intention of turning it into a drug and alcohol rehab facility, but didn't bother with getting a conditional-use permit first. Then she pitched it as an investment opportunity, but got shut down for offering unqualified securities. According to an article in the NY Times, she spent $13 million building this house, only to lose it to foreclosure. Today's list price? $2.7 million.