Olive Branch, MS · Member since 2011 · 2 posts · 0 votes
Looking at nice house in TN listed by FHLMC at $450k - was at $480k. They bought it last summer for around $360k.
Any thoughts on how far we can push them? Only thing we would ask for is inspection. They have that 2 year warranty thing, but that is only on mechanicals - not plubming, structure, etc. All cash. Quick close.
What they "bought" it for is irrelevant... simply an amalgamation of outstanding debt and debt service that was not an attractive amount to a foreclosure bidder.
Why not just write an offer and let the cards fall where they may? I guarantee they won't accept your first offer, but beginning a negotiation will help you get a feel for the answers to these types of questions.
I think your numbers are too far off from their numbers. My thought process for Fed owned property is they will never come off double digits all at once. What I would realistically see happening on this property is the property will stay on market for a period until the next price drop. My guess is the next drop is not as significant, more like 20 to $25k. Speed is not their strong suit. Good luck on this.
If you think this needs that much in repairs, they will eventually get there- in about 2 years or so.
What they "bought" it for is irrelevant... simply an amalgamation of outstanding debt and debt service that was not an attractive amount to a foreclosure bidder.
Why not just write an offer and let the cards fall where they may? I guarantee they won't accept your first offer, but beginning a negotiation will help you get a feel for the answers to these types of questions.
I agree with Jake and have done exactly that several times. You have several options to pursue, but we usually opt for taking action and seeing what happens. What I don't like is sitting around waiting for someone to drop their price (this is time I could be moving on to something else). We usually get the negotiation process started...sometimes it leads to closing a deal and sometimes it doesnt.
I think your numbers are too far off from their numbers. .. ...
If you think this needs that much in repairs, they will eventually get there- in about 2 years or so.
Not sure what you mean by "your numbers are too far off..."??
The property does not appear to need any repairs. Move in ready.
Not sure where in TN you're looking but I've bought properties in the Nashville area at an average of 80% of list. Nashville doesn't come down as much as other areas and the more work the house needs the more they will come down.