offering on REO/ Bank Own

[Hasson Bedward]

HI Everyone.

For about a month I've been working with a realtor making offers on REO's. all of my offers have been turned down. Depending on the property I've offered any where between 3 to 8k below asking. I have a hard money lender that i am going to be using to finance the property. My realtor thinks i am losing out on property because i am using a hard money lender. My question is have any body ever experienced a problem buying an REO property using hard money lenders?

[John Kent]

@Hasson Bedward that sounds about right. I just had a week long fight to get an REO to resubmit my buyer's financed offer. REO can be tough. Asset managers play a lot of games to get better prices in addition to many REO listing agents being overworked and cutting corners with their work as a result. Your agent has to keep an eye on the listings and follow up the best they can within the listing agent's tolerance.

Are you shopping at the bottom of the market? If you are then consider the bottom of the market primarily a cash game where the typical buyer is showing bank statements for proof of funds.

If you are frequently being outbid then that is just part of the game. You may wish to tighten up your selection criteria.