I am having trouble reading a listing for a house. It is a 4 bedroom currently in foreclosure. It is currently under the 2% rule but I was hoping I could offer 20% off the asking price to bring it close to 1.5%. The following is what it states on the website:
Cash only offers and can only convey title with a QCD. No title insurance will be issued. ***SPECIAL INCENTIVES: 1) Buyer will receive a purchase credit of either $1,000 or 3% of the final price at time of successful closing (whichever is less). 2) Buyer will receive a $600 home improvement gift card approximately 4-6 weeks after the successful close of the purchase transaction. 3) Buyer's Agent will receive an additional 1% commission based on the winning bid amount at time of successful closing (minimum of $400 additional commission).
My question is 1.) is the bank making these incentives for the buyer or 2.) is this a wholesaled house?
Is this something that you would pursue?
Walk away now, they lost me at Quit Claim Deed and no title insurance. The paranoid part of my brain sees either a title issue, a big one, or the seller is something shady. no need to figure this one out. There are a number of good legit deals, no need to cross into the dark side. Some of the best deals that you will ever do are the ones that you walk away from.
To your success
Thanks Josh! I will heed your warning!! I do not want to go down that path
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!