Bank of America Corp. (BAC) is preparing to sell off hundreds of foreclosed homes in bulk as part of its ongoing effort to clear out its inventory of distressed assets.

Citing unnamed industry sources, Reuters reported late Thursday that BofA has put out word to institutional investors that it is accepting bids on up to 500 mostly vacant, single-family homes in California, Georgia, Florida and several other states. BofA inherited at least some of the properties four years ago when it acquired Countrywide Financial, which had been the country's largest subprime lender.

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