All Forum Posts by: John Shortridge

Hi everyone,

Hopefully will be bidding on my first auction property this weekend (homesearch.com). I have read up ALOT about these deals. There are a lot of horror stories however usually there is at least someone in each thread who chimes in: "While everyone is griping about their bad experiences, I've been closing good deals".

Anyways, for those folks who have done these, are there any strategies you have for bidding on these? Is there any real point in bidding prior to the last day? I know some, Hubzu, homesearch.com, will bid the price up on behalf of the seller. Any experience here? 

In my particular case, they have the property listed on MLS at 105k, (which I'm assuming is their reserve, they wouldn't entertain a proper offer btw) which is at least 15k off where it needs to be. Also, this has some things that look scary at a glance (foundation, brick cracking) but my experts say it's actually no biggie, so I'm hoping there is less competition because of that.

Thanks for your help!

Johnny

Hi,

Sounds like a great deal! Any updates? Hope it is still going well.

Anyone else want to chime in on bidding strategy or direct me to a thread? I'm trying to get my first on Homesearch.com this weekend but I'm fully anticipating it going back on the auction a few times before anyone gets it. Listed (which I'm assuming is close the the "reserve") about 30k higher than it needs to be. It's a classic example of a listing agent who knows absolutely nothing about who these houses need to be marketed to and what kind of work they need.

J

Ok Thanks guys!

With the proof of funds letter, do you normally want it to be in the exact amount of your offer?

Hi Everyone,

I was hoping I could get some opinions/advice on making a good offer.

I recently had an offer rejected (my first offer on a property, trying to get my first deal). First, I understand that: 1) Not every offer I make will be accepted or countered, 2) Most likely, my offer was rejected because there were other higher offers. That being said, I was hoping to get your take on a few things that I could do better.

First off: My offer was: $70k cash, inspection contingency, 15 days to close, $2k EMD. The list was $80k and it was a REO property on the MLS. I was hoping to get a counter-offer and I could go as high as $75k.

First off, for an offer with an inspection contingency, How soon should I put my closing date? I had mine at 15 days, however it seems like the winning offer closed the deal after about 10 (they had an inspection contingency). 

Secondly, my offer was cash. When I went in the bank to get a "Proof of Funds" the lady who helped me didn't seem to know what I was talking about. I left with this letter:

"Regarding: (property address)

To Whom It May Concern,

Please let this letter show proof of available funds for purchase of real estate in the amount up to $70,000. 

Signed: (lady at the bank with phone number)"

Is this acceptable as a proof of funds document?

Finally, What is an appropriate earnest money deposit? I put had $2000 and included a photocopy of a check written to my title company. 

Again, I know that most likely, my offer was rejected because it was too low, but I'm just wanting to make sure when I make another offer there are no strikes against it other than price.

THANK YOU!

Hey Curt,

Called the broker who's sign was up and learned a lot. Actually ended up get a lead on a different property. Thanks for your advice!

j

Hi BP,

There is a house down the street that is vacant. Neighbors said it has been foreclosed on  and vacant for a year, and had a for sale sign up a few months ago, but promptly removed.

The PA website says it is owned by an individual, however Zillow (I know...) had it listed as a foreclosure. I called the trustee's number and they informed me that the bank (Citi Financial) asked them to close their file and there was never a "courthouse auction."

Any advice as to what happened here, or how I could get an offer in front of someone? I guess it's possible that the mortgage was made current prior to the foreclosure auction... which would make sense that the bank stopped the process, but why would it still be vacant?

Thanks!

John

Hey BP, Buying my first property cash. Can you tell me what all costs are and are not needed with a cash deal? Any estimates? I understanding that my area (Nashville TN) will be different than yours. Thanks! John

Yes.

I purchased my current residence last year, and renovated it and moved in. Now I am looking to buy my first investment property to flip with cash.

WOW! Thanks for the quick replies.

Yes the few that I'm specifically talking about are B of A. There are at least 50/70 properties listed on my county's assessors owned by them, but only about 10 that are listed on their website/zillow/mls etc... 

I know the guy who does almost all the Regions bank REOs but they never sell non move in condition. 

Has anyone ever actually bought a REO pre MLS?

@Joe Gore: Where did you hear that? That is certainly encouraging.

Even worse, all the ones that go to MLS are going to Hubzu or Auction.com...

Hi Everyone, I'm new to this forum so I'm not sure if there is already a thread.

I have located a few bank owned properties using my county's property assessor's website. I'm pretty sure they are foreclosed because they are vacant and with notes on the windows. They aren't listed however, and a few I have noticed for several months. I'm wondering if anyone has had any experience in tracking down an agent for these properties. Does a bank just sit on some of these indefinitely? Or will they eventually list them all?

Thanks!