Lately I have been making offers on distressed properties listed with realtors, as well as REO’s from banks, and I have been having my realtor make low ball offers to seller. no paperwork, no financials, tax forms, and tons of paperwork from seller, just a simple offer with contract. Im wondering why i spent so many months working on short sales when the realtor just makes the offer and tells why Im making a low offer.
Has anyone else had experience with this?
i have a real pit bull as an agent and he doesn’t care how low the offer is, he goes in and low balls big time.
How many of your low ball offers have been accepted and closed? How many have you succesfully purchased, rehabbed and sold (or rented) for a positive return?
make sure any Realtor that you use has gone thru at least one Short Sale market before todays SS mkt… most agents are just going to seminars put on by title companies and their local Association… meaning 1/2 Armed and 100% dangerious…
I had an agent that did the same thing for me: REO’s, FNMA’s, HUD’s, private sales, etc. - you name it. It seems each arm of the government and each bank has their own “form” to fill out, tho, which can be a pain for both you and your agent. However, she was a real go-getter and sumbitted my offers anyway. I probably bid on about 4-6 REO’s, several HUD’s, and a few of the others before landing a HUD f/c. My experience with REO’s was the banks would hardly ever negotiate. For example, on a home listed for $98k and worth $100k, I offered $70k. The bank countered at $97,500 - a whole $500 less, whoopie. Most didn’t even counter, tho.
I have found the same thing in my market (Chicago suburbs). The banks want retail and they will wait for the greater fool who jumps out of a seminar to buy them I guess.