Realtor gets snippy, thinks my offers are too low !

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Realtor gets snippy, thinks my offers are too low !

Rob Rey
Member since 2008 · 37 posts · 5 votes

I have recently restarted to look for a property with a new realtor.

I asked the Realtor to put in two offers for me.

One was 80% of the asking price of an IndyMac owned house that was listed for 196,000

The other offer was 83% of a Condo owned by ABN AMRO
that is listed for 179,900 This property has 2 morgages and an equity loan involved which says to me the closing timeframe will be very long. The morgage loans and equity loans are from different Banks.

My question is ..........

Is offering 80% of a list price on a Bank owned property too low ???

I dont think it is !

And I am so tired of snooty Realtors.

The Realtor has spent less than 2 hours of her time with me. Both properties were within 5 miles of her office.
It's not like I am dragging this poor Realtor all over the place.

I basically told her to have both offers ready by Friday at the latest. She then tried to scare me by saying what happens if both offers are accepted , which doesnt scare me in the least . I think I did a petty good job of not telling her off, mainly because I am polite enough not to fight with an elderly woman Realtor.

So to reiterate, am I being unrealistic or wasting the Realtors time ???

TY for any response you might have ???
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  • Richard Warren
    Real Estate Investor · Las Vegas, NV · Member since 2008 · 1k+ posts · 447 votes
    17y

    Get a new realtor. Go to your local real estate investment club and find a realtor there. You are more likely to find one who understands how to work with investors. Ask other club members for recommendations.

    :cool:

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  • Josh Green
    Financial Advisor · Tampa Area, FL · Member since 2008 · 956 posts · 214 votes
    17y

    i'd be very honest and tell her to 'eff off'. realtors are a dime a dozen....make that a nickel a dozen. be sure to tell her that you are moving on to the next one in line and she threw away a guaranteed deal!

    0Reply
  • Jason Trepins
    Real Estate Investor · Wyoming, MI · Member since 2008 · 195 posts · 10 votes
    17y

    there are two sides..
    1 is that realtors do actually have to do work when submitting an offer and aren't fond of ultra Low ball offers that have no chance of getting accepted. Some investors just fire out offer after offer after offer until one of their low ball offers gets accepted..if ever.

    The other side is if the investor has run the numbers and is Offering based on what the property is worth then it's the BANK that should be reviewing their asking price, unless they are going to hold out for an owner occupied.

    of course some realtors are more excited to work with investors than others..
    we have realtors in our office and they are sending out offers constantly

    0Reply
  • Will BarnardPro Member
    Moderator
    Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
    17y

    I agree with all. Get a new realtor. No 80% of list is not unreasonable. In fact, it should be your last and final not the first (as a general rule of course, every situation is different) That said, expect lots of no responses and not even close counters.

    Podcast Guest on Show #130
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  • Account Closed
    Manhattan, NY · Member since 2008 · 801 posts · 61 votes
    17y

    It takes the agent all of five minutes to generate the offer and fax it to the selling agent. This mess about wasting an agents time is a bunch of BS.

    As the buyer, you and only you, can determine what you should offer on a property. It does not matter if the seller or agent want more, all that matters is you buy the property in such a way you can make a profit.

    If this agent does not want to represent you, fine. Move on to one who does.

    0Reply
  • Adam Black
    Ridgeland, MS · Member since 2009 · 106 posts · 0 votes
    17y

    I agree with the popular mindset, get a new realtor. In most markets you can find someone who is a REO specialist an understnad they are going to be throwing out lowballs.
    I'm glad my realtor isn't like that as most of my bids are 50% or lower than asking!

    0Reply
  • Jason Trepins
    Real Estate Investor · Wyoming, MI · Member since 2008 · 195 posts · 10 votes
    17y
    Originally posted by Taz:
    It takes the agent all of five minutes to generate the offer and fax it to the selling agent. This mess about wasting an agents time is a bunch of BS.


    LoL, I'll let my wife, who's a realtor, chime in..
    she can speak first hand about working with investors

    although it's impossible to make a 'blanket statement'...
    things are not always as they Seem

    for example..
    Typically an investor wants to SEE the property before putting in an offer..the investor cannot go through a listed property without a licensed realtor.
    0Reply
  • Jon Holdman
    Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
    17y

    Sounds like they've already seen the house, and the agent isn't wanting to make the offers. Showing houses is part of the job description.

    0Reply
  • Will BarnardPro Member
    Moderator
    Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
    17y
    While I think much can be done without Realtors and avoid them when I can, this statement is absolutely true. Many times, I would like to see the interior of a home and con not without the lockbox codes, etc. which are only available by contacting the listing agent or have an agent show you the home.

    The key: Find an agent willing to gain you access to homes in your area of choice and construct a way where you can include them in a pay day so that it is worth their while.

    Podcast Guest on Show #130
    0Reply
  • Account Closed
    Manhattan, NY · Member since 2008 · 801 posts · 61 votes
    17y
    Originally posted by Jason Trepins:
    Originally posted by Taz:
    It takes the agent all of five minutes to generate the offer and fax it to the selling agent. This mess about wasting an agents time is a bunch of BS.


    LoL, I'll let my wife, who's a realtor, chime in..
    she can speak first hand about working with investors

    although it's impossible to make a 'blanket statement'...
    things are not always as they Seem

    for example..
    Typically an investor wants to SEE the property before putting in an offer..the investor cannot go through a listed property without a licensed realtor.
    They've already seen the house. I work with agents often. But, if the agent is not smart enough to understand WHY an investor has to make a profit they need to just be honest and tell the investor, "I don't work with investors." Trust me, I am not going to be offended. Nor am I going to try to convince them they should work with me. The great thing about real estate agents is there is always a ready supply.

    0Reply
  • Jon Klaus
    Developer · Garland, TX · Member since 2008 · 8k+ posts · 4k+ votes
    17y

    I've made a couple offers this past week through a Realtor I just met. Today we looked at a property 55 miles away, so I had a good amount of time to discuss my objectives and techniques. I told her that I may make as many as 10 offers for every 1 that gets accepted. She was fine with that. It helped that she is also an investor. She also knows that she may get several of my deals over the next few months. It's worth it to work to find someone who fits your needs and style.

    0Reply
  • Dave P.
    Real Estate Consultant · Member since 2008 · 792 posts · 30 votes
    17y

    There are two sides to ever story. I can't stand most realtors (and I am one). I generally feel that realtors deserve the respect (or lack there of) that they get.

    However, I've had my share of super non-qualified "investors" come in and tell me "how it was going to be". Those are short meetings. I would make sure not to be condescending or overly directive. Everyone knows that the customer is the boss, but you don't need to flaunt it (I'm sure you don't, but some do).

    If the value of the agent is in the lock box key and their chauffeur abilities, then I would move on. If the value of the agent is in their market knowledge, negotiating skills, and deal finding abilities, then I would listen to what they have to say.

    0Reply
  • Jeff Chambers
    Residential Real Estate Agent · IL · Member since 2009 · 1 post · 0 votes
    17y

    Wish you lived near me, I would be happy to represent you!! I have been a Realtor for 4 short years, and would NEVER complain about submitting an offer, let alone 2 of them. I would say to shop around and get a Realtor that is grateful for the opportunity to work with you.
    If you can't find one, give me a call. I would be happy to help you!!!!

    0Reply
  • Stephani Davis
    Real Estate Investor · St. Petersburg, FL · Member since 2008 · 190 posts · 91 votes
    17y

    Another idea is to make your offers directly through the listing agent.

    Giving the listing agent both sides of the commission never hurts.

    Steph

    P.S.
    I am not a licensed agent, and I go through REO properties almost every day by myself. Most agents will give you the lockbox codes if you ask nice enough.

    0Reply
  • Aly W.
    Investor · Middletown, NJ · Member since 2008 · 2k+ posts · 1k+ votes
    17y
    Originally posted by Stephani:
    Another idea is to make your offers directly through the listing agent.

    Giving the listing agent both sides of the commission never hurts.

    Steph

    P.S.
    I am not a licensed agent, and I go through REO properties almost every day by myself. Most agents will give you the lockbox codes if you ask nice enough.

    Great advice Stephani. I'm a referral agent and most listing agents are ok with giving the lockbox combo. And if my realtor ever says any of my offers are too low, I will do exactly as you suggest.

    0Reply
  • Mark Devereaux
    Rental Property Investor · Oakley, MI · Member since 2008 · 15 posts · 0 votes
    17y

    Get a new realtor.

    They should be excited for you and work to get the deal you want, not the deal they want. Some realtors don't want to work with investors, find one that does. Find one that understands investing. Ask if they own investment property or have ever owned it.

    My last 2 deals were bank REO's at less than 50% of asking price and I got a third one for 60% of asking price.

    0Reply
  • Will BarnardPro Member
    Moderator
    Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
    17y
    That is great only whne the damn realtor find the time to answer or return a phone call. I made 12 calls to 12 different listing agents in my area today alone and you know how many I talked with? Three. Two answered the phone, and the thrid called me back in 3 minutes. The other 9, still no call return. What a joke these people are. There are good and mad with everything, but in my book, 80% of the agents are useless, 10% more don't have the abilities needed which leaves you with only 10%. Not a good ratio in my book.

    OK, I am done venting now!
    To all competant and hard working Realtors, this post obviously is not directed at you.

    Podcast Guest on Show #130
    0Reply
  • James Hiddle
    Altus, OK · Member since 2008 · 2k+ posts · 690 votes
    17y
    Originally posted by nationwidepi:
    That is great only whne the damn realtor find the time to answer or return a phone call. I made 12 calls to 12 different listing agents in my area today alone and you know how many I talked with? Three. Two answered the phone, and the thrid called me back in 3 minutes. The other 9, still no call return. What a joke these people are. There are good and mad with everything, but in my book, 80% of the agents are useless, 10% more don't have the abilities needed which leaves you with only 10%. Not a good ratio in my book.

    OK, I am done venting now!
    To all competant and hard working Realtors, this post obviously is not directed at you.


    You would think that any Realtor would be on the ball especially in todays market. A lot of Realtors are hurting so I would think that any of them would jump at a chance to get some business.

    Go figure people.

    0Reply
  • Mark Yuschak
    Residential Real Estate Broker · Grand Blanc, MI · Member since 2008 · 885 posts · 316 votes
    17y

    I am also a Realtor and don't mind working with investors. As a matter of fact, 80% of my business comes from investors. The issue I have is with investors who think they totally run the show by acting cocky, arrogant, and completely rude. I don't have the time or patience for that. Unfortunately, there are those types of investors out there too. If an investor comes to me and tells me what they want, I have no problem doing the showings and submitting ANY offers. Like already mentioned - an offer takes all of a couple minutes to draw up and fax in. Being a Realtor isn't exactly hard work when working with investors. The beauty of working with investors, most of the time, is that we know what we want right up front. There's MUCH less schooling of the perspective buyer when compared with a conventional buyer.

    0Reply
  • Account Closed
    Manhattan, NY · Member since 2008 · 801 posts · 61 votes
    17y

    I agree there is no reason for an investor to be rude. Even in a seller's market the buyer is the one driving the transaction. It's just that there is an over abundance of buyers. That is certainly not the case today.

    There are good and bad investors just like agents. A good investor will seek out a good agent if they are smart and vice versa.

    It's kind of sad really that investors have a bad rep with agents. Most agents who complain about "investors" are really complaining about speculators and others who don't have the first clue about investing but are looking for a quick buck.

    FWIW, serious investors don't feel the same way about agents in general. We recognize the service they provide.

    0Reply
  • Mark N.A
    Real Estate Investor · North Carolina · Member since 2008 · 1k+ posts · 483 votes
    17y

    I've worked with good agents and idiot agents. Hopefully, these trying economic times will purge the system.

    I made an offer to an agent who said, "Well I'm not even going to waste the owner's time with this." Yes, that was a violation and I could've complained to the Board, but it was easier to move on. I worked (very shortly) with an agent who wouldn't risk her hose by walking through the underbrush to see the waterline of some prime riverfront property (which sold for more than twice appraised value, but not through her).

    After a while you will come to know which agents are 'listers' and which are 'sellers' and which are eager to work with investors.

    I cannot believe how many agents I've given my "We Buy Houses" card to who never follow up with anything; or the agents who know I'm interested in their rental offerings, but never bother calling me back with something so simple as what it's renting for! And I just spoke on the phone last week with an agent about a small apartment complex and could barely hear her from her TV blaring and some kid screaming.

    Sometimes, I swear, it seems I just can't give my money away.

    Today, I've got a great relationship with an agent who gives me the codes to all his houses. Of course, I've bought two properties from him so he knows I'm real (and that I don't pay close to asking). But he'll also continue getting my business.

    0Reply
  • Mark Brian
    Involved In Real Estate · Anderson, SC · Member since 2008 · 350 posts · 70 votes
    17y

    If your offer of 80% of listing was based on recent sold comps, then I see nothing wrong with submitting it. But if the listing price is inflated, 80% of listed price may still be too much. There is nothing wrong with submitting realistic offers. Key word being realistic.

    As an agent I can tell you that even I do not care for some agents. I have to be careful with what I say, but some deserve the reputation, some do not.

    0Reply
  • Ana Hyler
    Lincoln, NE · Member since 2008 · 249 posts · 46 votes
    17y

    Since this realtor already showed you the properties, I would let her choose if she wants to put this offers before you move on to another realtor. But for your next offers, find a different realtor and make sure you tell them you are an investor and would not pay full price or close to it...and ask them if they have a problem with that before you start working with them. That's what I do...and so far all of them tell me they have no problem with presenting low offers. ahhh.... 80% is not unreasonable AT ALL. Good luck and let us know how the offers go.

    0Reply
  • Jake Kucheck
    Residential Real Estate Agent · Costa Mesa, CA · Member since 2008 · 1k+ posts · 380 votes
    17y

    I like to find a compromise between finding properties that fit investor criteria at list price (high probability of accepted offer) and throwing out a ton of lowball offers (high probability of great deal if accepted). The transaction only works when both sides agree anyway, so that seems like the most logical approach.

    There is something to be said for knowing what mitigating factors need to accompany your lowball offer for it to be considered (cash, quick close, no dumb contingencies, etc).

    You also need to have an agent that has worked with REO Brokers (if you are going after REO) before and knows their procedures, terms and administrative assistants very well. Little things like that can give you the edge.

    0Reply
  • Nina Janke
    Real Estate Consultant · Stafford, VA · Member since 2008 · 4 posts · 0 votes
    17y

    There is not a magical percentage for any offer on these bank properties. List prices for some banks are well within value and some are way to high. Lately I have been seeing multiple offers on highly sought after areas. I recommend finding an agent that will work with you and not make you feel like you are wasting their time.

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