We have found a property we think is ripe for our investment. It is a Fannie Mae Foreclosure with an asking price that is only a bit higher than we want to have to afford. Over the last two weeks we have put in 3 offers! first offer was about 73% of asking price all cash, they countered we went up to about 83% of asking price. While that offer was in, the price came down on the MLS thus making our offer about 89.8% and a couple of days later we were rejected! No comments from the agent, no reasoning as to if it is a contractual issue or a price issue, just "rejected".
So we went to just under our max for this property which is about 92% of asking price( only a few grand more) and once again "rejected". No comment from anyone.
Are we wasting our time? Do they really want to sell to a 1st time home-buyer and hold a scrappy little mortgage under 100K for the next 30 yrs instead of taking cash right now? Should the listing agent be more helpful or informed than she appears to be?
The amount of paperwork that goes into this kind of purchase is kind of ridiculous, I hate to do it a 4th time even at 95% of asking (our max offer price) to see it just get kicked back with no explanation.
FNMA, or any seller, gets all their cash at closing whether the buyer is paying cash or using financing....so that's a moot point. How long has it been listed, is it still in the OO period, are you buying as an investor? The listing agent has no influence or inside knowledge of the decision making process.
Keep at it and don't get discouraged. And as they say, "don't fall in love with the deal." If you can't get it at the price you want, then let it go. There's always another one.
Wayne, thanks for the post. We did wait out the OO period, I guess the biggest struggle was trying to negotiate a contract with NO communication from the other side. The agent finally got back to me after many attempts and notified me the properry is now under contract to another investor for $
1,100 over asking price.And Will, we're on to the next one!
They may have been in negotiations with that other buyer when you got rejected. Ah well, on to bigger and better things!
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