I feel like it it depends on the year and model/set-up of the house (sounds like a car). I know that for my insurance in Newfoundland, my insurance varied even though the 2 houses I lived in were the same price! Hope this helps! (http://www.steersinsurance.com/AboutSteers.aspx)... more
From your brief description, it sounds as if you went right to the Seller's agent. In our area, Illinois, a listing agent is obligated, even when acting as a "dual agent", to present each and every offer made on the property right up to closing. If a Seller rejects an offer, our contracts have a paragraph the Seller signs indicating that they decline your offer. You can and should request that when you tender an offer. Little consolation, I know; but at least you would have known you were in the game.
Someone else mentioned that there may have been a higher offer. If you had a buyer's agent, (1) you would have had a true advocate and (2) they might have counseled you about the situtation and what may have been required to win the deal. Spearating the Buyer and Seller representation ensures each participant has independent advice pertinent to their role.
REOs can take a bit longer. Be sure to understand when you are dealing w/ a short sale that needs bank approval versus an REO which is a bank owned property. With an REO, the bank owns the property and generally has some level of commitment to the selling process to get the property off of their books. Some banks are motivated and reasonable, and others are not. I have witnessed banks moving along quickly with good communication and watched as other banks let the best buyers fade into the horizon. As a rule, REO property transactions move much quicker than short sales.
In an auction type of pricing stratetgy, I have seen banks settle for less than their expectations when mulitple offers all fall short of the bank's target. If the bank has only one offer at a price less than desired, the bank may hold out. When the bank has 4 offers and all fall short, the market has made a clear and compelling statement and most logical people will listen. Disclaimer: Banks are not always logical.... more