Buying a short sale

So, I’ve been seeing alot of short sale properties or ‘pending bank approval’ properties in the MLS lately. I’m a rehabber, and I use the the MAO formula to write my offers. My guess is that I should not bother with these properties b/c they are another investors baby and they will not accept a low, low offer, and the bank will furthermore not approve this offer. Thougts on this

If you really want to make some money right now look for these properties yourself and learn how to negotiate SS. There is and will in most places in the next 9 -12 months to make a good living. My suggestion would be to look for good properties to rent…Long term wealth is staring us right in the face!

Well these properties should be ideal for you. You might not get them at the very bottom price, but most of these investors that you see are wholesellers. And any good wholeseller is going to try and sell at a price that both parties are happy about the transaction.

I would not assume another investor is involved. It’s very possible there is, but there are also a lot of realtors who are listing properties for homeowners where the banks are saying just bring us an offer. Stick with your formula, but I don’t see how it hurts to make offers on these. You never know what deal you could end up with.

Many, many successful investors, REI authors…have said -

“I make offers on every house I look at.”

You should definitely make an offer on them regardless. Whether they accept your offer or not, is a different story, but still make the offers and let them turn them down.