For REO Properties, stop foreclosure methods have failed. These properties are those that are not bank owned due in part to the fact that their homebuyers stopped making payments on these loans. The loans on these loans failed and now the lenders own the properties.
The problem is, though that banks are not in the business of owning property and they would much rather just hold the loan and collect the interest. For this reason, they have to sell the homes so they can make back their investment and in turn they can help reinvest those funds somewhere else.