Forming an REO Offer Strategy in Utah
Hello All,
I have no experience with REO acquisition.
I would like some input in forming an acquisition startegy for REOs in Utah (ranked 7th nationally for foreclosures :oops: ).
Strategy:
1. make offers on REOs with 180 DOM or more
2. for properties less than 180 DOM, how effective would it be to challenge the current BPO with recent CMAs, repair list, pictures, crime statists, sex offender registry info, and etc. to justify your offer?
3. offer 50% to 60% FMV with 2% EM (funding with hard money)
4. let the listing Realtor keep all of the commission. I've heard if you do this that the listing Realtor might push your offer harder. Any truth to that?
What other things could I try to make the Bank bend on their price?
I figure a cash offer with a quicker closing will entice a bank. Definitely the DOM will make a bank think that their BPO is in question. What other situations or circumstances will make a bank bend on price?
What contigencies are standard in the offer so as not to weaken the offer?
Your comments would be appreciated!