What do you say when a seller responds to your yellow letter, but already has the property listed?
How long is it listed for? Listed doesn't mean you can't do anything with it. Does the home have equity? Is the seller motivated? What are you looking for? Wholesale, Retail, Flip, rental? All comes into play. We have received a call or two with people who had the homes listed. They were wanting top dollar however.
Dylan S. I would keep their contact Info and call or text every couple of days to see what's the status of the property. If the price is too high the MLS will wear them out and you will be there with your cash offer that more times than none they will accept. The key is persistence they will come around eventually.
Hey @Ryan D.
He's had it listed for almost 6 months by the looks of it, but had it listed off and on over the past five years, as well. I believe he has equity. Not sure on motivation yet (been playing phone tag). I'd like to find a rent to own tenant, and would gauge his interest of selling to me on a contract for deed or lease option. Wondering about working with him when there's a listing agreement in place though (looks like the most recent agreement started about 30 days ago). Thinking about just telling him to keep my contact info and call me if the listing doesn't work out.
I've had a lot of feedback from people wanting full price too.
When they call us, we still let them know what we can offer and what we can do, but let them know that they will first need to end the contract they have with the agent or pay the commission themselves. We have had more than one seller cancel their listing contract.
Many contracts are worded so that the seller may find their own buyer and, if they do, not owe real estate commission to the agent, so make no assumptions.
We never target properties that are listed but, when we do bulk mailings, those often call.
Also, you can still work with a seller whose property is listed, just figure the commission cost into your expenses when calculating your offer.
@Dylan Swanson Full price from prospects that want to do a lease option?
If it's been listed on and off for the past 5 yrs there's motivation. The question I would be asking myself is why hasn't he been able to sell it. Definitely look into this before you end of wasting your time.
I'm not sure if agents are allowed to handle lease options without the seller talking to an attorney first? Maybe that's just in Texas. If the same applies to your state then you'll have to speak with an attorney before you can sign off on a deal.
The fact that the property is listed is the sellers problem, not yours. Your offer(s) won't change regardless...all that matters is the numbers.
If the seller contacted you from general marketing, and you're not licensee, you should be able to send your offer(s) directly to the seller and he/she can decide how they wish to proceed.
Dylan S. Not too much you can do unless they force their way out of the contract which is sometimes difficult to do. Good luck with this one Dylan
Thanks all! I really appreciate the input! I have a license too btw, so I definitely want to be careful about not stepping on the the other agent's toes or doing anything unethical. I told him this upfront, and that I didn't realize the property was listed when I sent the letter. I figured since I had him on the line, though, I could at least chat it up with him a bit and try to feel out his motivation and build some rapport. Seemed like he was just willing to sell if he could get a good price.
I don't see the problem. If you're interested in the property just go through the listing agent. He/she is obligated to present any offers to the seller even if it's below asking price, unless the seller specifically instructs the agent not to present any offers under a certain price. And the commission is the seller's responsibility.
@Fred Heller Definitely, I would put in an offer through their agent. In this case, I didn't bother though, because I could tell we weren't anywhere near being in the same ballpark.
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