When your deal is that good....

7 Replies

I was just curious how others would approach this situation...

We put a deal under contract this weekend and when we sent the listing out to investors yesterday evening. By this morning we already have 10 investors that are very interested and going to look today. As far as im concerned, we have to options:

1-Give it to the first person to return a signed assignment agreement

2-Allow everyone until the end of the day (or maybe even two days) to submit a bid

In my opinion, the second option just makes us seem annoying that we have an asking price and now making the investors bid, but at the same time we have to be fair to ourselves (though we have already allowed for a nice assignment fee)

What would everyone else do??

Thanks!

Well personally I'd give it to my friend JScott, but in your case I might send out another email to the ten investors and say we have strong interest in this property and will take the highest bid.

Find a number you wont lose sleep over, sell it to the first person whos well qualified and move onto the next one. I totally agree with you that waiting for highest and best offers sends the wrong message (I know that isn't exactly what you said but I think were on the same page) A few grand here or there isn't worth pissing off folks who may be great buyers for other deals down the road

Thanks for the advice guys. Im gonna go with sell to the first qualified buyer as this is personally the type of wholesaler that I would prefer to deal with =]

As an investor I certainly wouldn't hold it against you to hold a bidding war. Everyone would prefer to not have to negotiate, but it is standard practice as you well know in the RE world. I'd highly doubt any flipper would turn down a higher offer after he received his/her first full priced offer.

Originally posted by @Cal C. :

Well personally I'd give it to my friend JScott, but in your case I might send out another email to the ten investors and say we have strong interest in this property and will take the highest bid.

I prefer Cal's first suggestion (just wait for me to look at it)...but I agree with his second that you should (within reason) give people an opportunity to bid higher than asking.

That said, I still prefer you take Cal's first advice... :)

Haha I will definitely let you have the opportunity to take a look =]

Feel free to call with any questions.

Join the Largest Real Estate Investing Community

Basic membership is free, forever.