Foreclosure in Oak Creek>Question Details

OC-homebuyer, Home Buyer in Milwaukee, WI

Is it a good idea to offer MORE than asking price?

Asked by OC-homebuyer, Milwaukee, WI Wed Jan 14, 2009

If we find a foreclosure (REO) that we're really interested in, and the asking price is reasonable, is it advisable to offer more than the asking price, to ensure our offer is accepted?

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5
OC - so, since you asked this question back in January, what did you decide to do?

Did you buy and offer over the asking price, or did you get a better deal??
0 votes Thank Flag Link Sun Dec 27, 2009
OC,
While in many cases we are seeing multiple offers and many above asking price on foreclosures, every situation is different. the "Corporate Owned" home that may seem at the surface as a foreclosure could actually be owned by some LLC that buys homes at auction, flips them and prices them WAY too high.
You're best bet is to (when you find the right property for you) look in depth into the comparable sales in the area and offer based on your comfort level and how much you want the home.
Web Reference: http://www.sdhomeguy.com
0 votes Thank Flag Link Sun Dec 27, 2009
Hi Oc,

It has been my experience that if the Corporate home or short sale is well priced then it could make sense to offer more than asking price, specially if there are other offers on the table. Ask your Realtor to find out if there are other offers and if any are above asking. Good luck. Leonardo
Web Reference: http://www.leonardoteam.com
0 votes Thank Flag Link Mon Mar 2, 2009
First if you are working with an agent they might be able to find out if there are any offers already on the property. If not the agent should be able to help you determine what the value is. On a foreclosure you are buying the property as is so you want to do a home inspection to know what might be wrong with the home. The main thing is they are going to want to know that you can get a loan. So you will need a letter from your lender stating that you have your financing in order. There are many foreclsoure out there that are going for under list price. It just depends on the home and others that might be interested in it also. Good way to tell is the number of agents cards you might see sitting in the home that have shown it. I take a buyer to one home that had 10 offers on it. You know that home is going to go for over list price. While others keep coming down in price until someone makes an offer. Good luck
0 votes Thank Flag Link Mon Mar 2, 2009
OC,

This is commonly done on foreclosure opportunities that represent the right home at the right price when buyers feel there may be multiple buyers interested in the property.

Unfortunately, we don't really know for certain if it a good idea until we are told the property went to another buyer that offered a higher amount for the home.

This depends on your level of desire for the home.

Good luck
0 votes Thank Flag Link Sat Jan 17, 2009
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