A Question on Follow Up on MLS Deals

8 Replies

BP,
Ok peeps, I've been grinding on the MLS for a few months now, dealing offers like the dickens, but I haven't been doing any follow up. Should I follow up with the agents? How do you do it?

The reason I ask is because I notice that a few of these houses that I made offers on a few months ago are still there! And they were at least >90 days then.

If you made an official offer they should have given you feedback on it. Yes contact them again.

I'd suggest following up every 30 days. Automate it if possible. If you have a real estate agent you're using, just ask them to submit the same offer again and update the dates.

Originally posted by @Account Closed :

If you made an official offer they should have given you feedback on it. Yes contact them again.

Thank you Stephen. I'm not sure what an "official offer" entails. What I do is write up a letter in MS Word and send it in an email with a POF. I'm not currently working with an RE Agent because I want to offer the agent I am sending this to a double commission.

What do you subject in the follow up? Simply re-emailing the original offer? Sending an offer with a different price? Just simply restarting the conversation?

I appreciate all your help!

     

Did you sent them a formal contract? That an official offer. 

Hi @James Danchus ,

An offer should have a contract outlying the terms of the offer. It should also have all required documents based on that property. If dealing with someone who works off the MLS they would expect many more forms. For instance:

1) Lead based paint form signed by buyer

2) PCD signed by buyer

3) All pages of offer initialed

4) Cash contingency form signed (if cash)

5) Inspection form signed

6) a myriad of other forms based on where it is and what.

I know that people say "agents are required by law to present any and all offers" and while true". The agent is not required to follow up with you. An agent has to do what the seller says. The seller has 4 options when they get an offer (Accept/Deny/Counter/Ignore). They are not required to respond at all, just as you are not required to respond to spam mail or spam email. 

If the house was listed at 200K and you sent in a word document offering 110K and an assignment clause (or even a full blown contract), without stepping foot inside it. I am going to make the recommendation we ignore any and all emails in the future from that address or person on any and all properties they own. Which in my area may include a decent number that the investors move around. 

Why? because I can list it tomorrow for 150K and it will be gone in 15 minutes. Heck lets do a crazy 30K price drop and watch the people flood in. That's why people say you can't find real good deals on the MLS generally.

You can follow up if you want, but if the agent saw your letter and POF and thought you were an opportunity for their seller they would have called back. (or they thought you may have been a good opportunity for a different seller they would have called too).

I recommend you polish up your letter some to give them the reason to reach out to you.

Good luck and hope you find one!

Call the agent that list the property so you can see property. They will write a contract for them. They will not that you seriously with a email and a price if you have not been shown the property.

@James Danchus - Sending a "Letter of Intent" (which I realize is recommended/encouraged by some of the Gurus) to a listing agent is not an official offer and will not get a response from most listing agents. It just shows that you're inexperienced and don't have an agent. And, as noted above, many MLS listings have attachments that are required to be executed and submitted with the offer (especially REOs) and most include language in the "Realtor Remarks" section (which is not intended for or available to the public) to the effect of "Submit all offers on [Specified Contract] with all MLS attachments signed/initialed. Incomplete offers will not be considered".

I never understand why buyers want to work directly with the listing agent. The listing agent works for the seller and is legally bound to represent the seller's interests.  It's like getting sued and saying, "Nah...I'm not going to get a lawyer, I'll just let the plaintiff's attorney represent me".

Contrary to popular belief, in most cases, you will not even save any money if you let the listing agent work both sides of the deal. The listing agent's commission (and the buyer's agent's commission for that matter) was already agreed to in advance as part of the seller's listing agreement. If anything, the listing agent just gets to keep both sides of the commission (granted, it may be less than double if he/she works both sides) - and has absolutely no incentive to give any of it to you in the form of a discount. On the contrary - they are obligated to get the seller the highest possible price for the property (and thus maximize their own commission).

In addition, many listing agents (particularly those that list REOs and fixer-uppers) are high-volume, low drag...meaning they have neither the time nor the inclination to show their own listings and work with buyers on the hundreds of things that have to be done to get from "offer" to "closing table"- handling the buyer's side of the transaction is very time consuming and detail-oriented, and many listing agents expect you to come in with a buyer's agent that works for you and will keep the transaction on track.

And finally, how are you making offers on MLS listed properties if you don't have access to the MLS? If you're using Zillow/Trulia or another public website, they aren't always accurate. You may be emailing on properties that are already under contract, or emailing the wrong agent altogether.

As you may have guessed, my advice is to get yourself an investor-friendly buyer's agent. After all, the seller is already offering to pay for your buyer's agent - why wouldn't you use one?

Hope that helps!

Originally posted by @Bill Turner :

Call the agent that list the property so you can see property. They will write a contract for them. They will not that you seriously with a email and a price if you have not been shown the property.

Yea. I've kind of caught that but the fact is if you are going to find deals on the MLS, you have to be putting out dozens of offers a week since I am offering them at prices were 90% of them will get rejected. The secondary benefit is that you are networking with agents, which is important.

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