Home Buying in Poughkeepsie>Question Details

rabbitearsx2, Home Buyer in Poughkeepsie, NY

Should i pay for inspection before making an offer on REO? If a house is foreclosed to lender for $500,000, does it mean that the bank paid $500,000

Asked by rabbitearsx2, Poughkeepsie, NY Thu Dec 26, 2013

at the auction? It's relisted at $550,000 but the comps prepared by a REA posted ~425,000 -$450,000. What's an reasonable offer?

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You can inspect in order to educate yourself about what you're buying, but you can't use the results to negotiate. All REO sales are "as is" so there is an certain amount of risk attached. Bank has probably listed it reasonably, they don't want to keep properties in their portfolio, so figure about 5% below asking for a reasonable offer. Unless of course you know you have competition and you REALLY want the house...
1 vote Thank Flag Link Thu Dec 26, 2013
yes no question we did not and cost us best of luck
0 votes Thank Flag Link Sun Feb 9, 2014
Please don't! You'll have an opportunity to have the property inspected AFTER you have an executed contract. There is no guarantee that your offer will be accepted and then your inspection money would be wasted.

It's going to be really hard for any of us to advise you on your initial offer. That's a pretty big discrepancy in list vs. comps. How do they account for this?

When you want to buy a home without getting ripped off, hire an Exclusive Buyer Agent. EBAs only work with homebuyers and there is never a conflict of interest that will jeopardize your negotiating position. Visit http://www.naeba.org for a referral to an Exclusive Buyer's Agent in your area.

I've written a best selling book called Buying a Home: Don't Let Them Make a Monkey Out of You. It'll teach you how to buy a home without getting ripped off.. Follow the link below.

Best of luck!

Alysse Musgrave
214-734-3863
Alysse@HelpUBuyAmerica.com
http://www.helpubuyamerica.com
0 votes Thank Flag Link Thu Dec 26, 2013
If you hire the right EBA, they will be able to help you determine the general condition of the property. You'll still need an inspection later.
Flag Thu Dec 26, 2013
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