I'm about to look a property that I found has no Heat Pump or appliances and who knows what else... I've come across other deals in the past that I offered what we (me and my agent) thought was a more than fair offer given the condition of the home and the "missing" item or two, and the comps, etc..
Just curious to find out from others how you handled a deal that was either a short sale, foreclosure, or just plain old seller wanting to sell and there were things like obvious needed repairs and the seller/bank just refused to accept the offer. What tactics are you using past just walking away.
In a few cases, 1 was a short sale, 1 was already foreclosed, and the other was the seller just wanting what she wanted; these deals didn't go through for me because they were not amenable to accepting my offer.
The short sale I found was purchased by a flipper later for way under what the bank would not accept from me.
And then only to find that the house sold for MUCH less than what I offered. :/ When it happened the first time I thought, " what could I have done to make this deal happen? "With the exception of one, which was a regular seller sale in that she held out and got just at the asking price.
Have a great weekend!
Hello @Daria B.
My current residence was purchased as a foreclosure from the bank. The only appliance in the whole place was a crappy dishwasher. We just went to Home Depot and bought appliances to be delivered the afternoon of closing. I made a super low offer because it was Fannie Mae Homepath owned. They had one other offer, but it was from an investor and I was going to be living here. They prefer to sell to owner-occupants. I don't know what sort of offer the other people made, but I do know mine was not all that great.
Years ago, I put an offer in for a condo that had been foreclosed. The bank did not accept my offer, and being rather new to the whole thing, I left it at that. I found out later that they ended up selling for significantly lower than my offer, a few months down the road. Now, I follow up on the property after a rejected offer. If it doesn't go under contract, I remind the selling agent that I am still interested and that my offer is valid until I formally rescind. I do this every couple of weeks.
I also think there is a lot of power in writing a letter to the seller, explaining why your offer isn't quite what they may have been hoping for. Point out the things that are missing or in need of repair, but in a respectful manner. Some people put a lot of emotional value into a home, and if you tell them why their house is awful, they may never sell to you at any price.
Thanks @Mindy Jensen I will keep this in mind when I come across this situation again.
I didn't think it was allowed to contact the owners when it was the bank (short sale) who ultimately had the last word. I surely would have contacted them because it sold for considerably less and the new buyer put a roof on it and sold it for $40k more (minus roof and some minor repairs). :|
My agent wasn't as versed with short sales/foreclosures with me at the time, although she did explain a few things in how they work. I think she gained some knowledge with a friend of mind. She and her boyfriend bought a foreclosure that took a few months to get settled.
thanks for the advice.... :)
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