How does the First Look program work?

Question

I'm currently looking at a Fannie Mae foreclosure property that would be a good first buy for me. Looking to rehab/house hack a duplex in my area. The property is currently in the "First Look" phase for 5 more days. I unfortunately won't be able to get into it until Monday, which would be the last day of the First Look.

I'm wondering, say come Monday, I check out the property and it looks good and I offer full ask on the spot, can the bank just wait until the next day to see how many investors/other buyers offer on it?

Any suggestions on how I could handle a situation like this to ensure I have a good chance at snagging this?

Thanks!

Matthew Porcaro · Answer

@Jonna Weber I do now. It's funny how one little action step can sling shot you into a process. In less than 24 hours I got an agent, pre-approved for a mortgage, and potentially making an offer on it this weekend.

Trying to manage it as best as possible to ensure I don't miss out any steps. This is extremely exciting yet scary.

Jonna Weber · Answer

@Matthew Porcaro - do you have an agent?  They should be able to walk you through the process.

I think house hacking is brilliant, and I wish I would have done it starting out. :)

Matthew Porcaro · Answer

@Jonna Weber thanks for the advice, I was thinking about doing the same thing. I just have never put an offer on a property before, and wasn't sure how specific I can get with my contingencies.

I know for sure this is a competitive deal that, once investors catch wind of it, will want it. I'm in a unique position where I am a first time home buyer with a construction background and a desire to house hack. This property doesn't fit the typical first time Home Buyer criteria.

Jonna Weber · Answer

If I was knew it was a great price and strong contender, I would consider putting in the offer now with an inspection period that extends through next week.  (and you could also write that the offer is contingent on interior viewing on Monday).  Yes, in my experience, the banks can look at investor offers alongside yours after Monday.  I have no idea what your market looks like - but in our market, many duplexes are getting multiple offers.  Good luck with whatever you decide!

Wayne Brooks · Answer

Have your offer ready to go, except for the price.  They will make a determination on first look offers, before looking at investor offers.  Last day doesn't help though.