Home Buying in South Florida>Question Details

Tiffany, Home Buyer in Florida

What is a good offer to make on Bank owned Foreclosure?

Asked by Tiffany, Florida Mon Jan 26, 2009

I have tried doing my research, I have found out that there is one loan on the property but its from the HOA and its very minimal$ 425 in fees. I got the records of the foreclosure. The prior owner owes the bank $233,409 (all fee's included) the Listing is for $225,000. The house was first listed for sale in march of 2008 for $419,00 was relisted 8 times in price to $369,000 ending the short sale period I am assuming. The property went up for Auction via court hearing on August 5th 2008. At that time the price remained the same and finally dropped to $225,900 in November. I saw the property It does need a lot of work and I would not consider it for the purchase price of $225,00, based on the condition it is in now. I would however be happy offering a max of $175,000. Prices on homes comparable range from 275 and upwards but again those homes are updated and ready to sell. I just need to know how to read the documents to submit a low ball park offer. What the trick? Thank you 8)

Help the community by answering this question:

Answers

4
The “trick” is to remember the banks are in the business to sell money, not real estate. They do not want the real estate and are anxious to unload their inventory. Be realistic with your offer since you will probably not be the only offer they will receive. First contact a professional Realtor who works with Buyers. Tell them which property you are interested in and what you are willing to pay for it. Your Realtor will submit your offer on the proper forms and you wait for an answer from the bank. If your offer is not accepted, review your offer and submit a new offer or accept the bank’s counteroffer. The bank will be looking for the best offer, the best terms and a quick closing.

Good luck.
Brenda

Brenda Wooldridge, G.R.I.
RE/MAX ACR ELITE GROUP, INC.
Office: 727-584-8480
Cell: 727-418-0900
Email: brendaw@tampabay.rr.com
Websites: http://www.brendawooldridge.com
http://www.brendaw.remax.com
1 vote Thank Flag Link Mon Jan 26, 2009
Gabrielle....as you already decided not to offer more then $175K, just go for it and pick a good buyers agent to represent you. My guess is that the bank will counter your offer.Obviously you must like the property to go through all this trouble and I can also guess that the location is good...its more of a question of how much you want to spend to fix it....and how much would it take to buy comparables listed at $275k...and how handy you are or your better half/fiance et... Lynn from Dallas is right.Getting a Buyers Agent is the way to go.
Good luck!
LLoyd

LLoyd Nichols Right Choice Realty LLC
cell: 239-810-2980
office: 239-463-5217
Activerain Local Blog: http://localism.com/neighbor/lloydn
Active Rain Blog: http://activerain.com/lloydn
Website: http://www.mlsouthwestfloridahomes.com
Search the MLS in Southwest Florida
0 votes Thank Flag Link Mon Jan 26, 2009
Gabrielle,
The bank is looking for something close to the present market value of the property. Forget what all the outstanding debt is, since that isn't really your concern. Work with a realtor to determine through logical and proper comparative market analysis what is the present market conditions in that area, and place an offer accordingly. You can certainly make your offer lower since the bank probably doesn't want to hold on the the property forever, but if it is priced right according to the present market, they probably won't have to. Most properties sell when they are priced right for their location and condition. By all means, however, get the assistance of a realtor--as the buyer, the realtor's professional service is paid by the seller (the bank in this case). Happy house hunting!!

Myke Triebold

for more info,

call me at 850-305-6256
http://www.NicevilleHomeSales.com
http://www.DestinHomeSale.com
email: MykeSaysSold@aol.com
Web Reference: http://www.MykeTriebold.com
0 votes Thank Flag Link Mon Jan 26, 2009
The trick is via your buyers agent, who knows how submit a winning bid. Review all research you have completed determine best interest for all parties. Most banks prefer work thru a buyers agent than direct with consumer due to nature of business. Realtors know the steps thru closing. You could loss escrow money and etc.
Web Reference: http://www.lynn911.com
0 votes Thank Flag Link Mon Jan 26, 2009
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer