Home Buying in Santa Clarita>Question Details

Zsaree, Home Owner in Newhall, CA

What is the lowest i can bid with a cash offer?

Asked by Zsaree, Newhall, CA Fri Mar 23, 2012

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13
Depends on the condition and value in the area. What are you looking for?
1 vote Thank Flag Link Sat Mar 24, 2012
Hello, This question needs some more information. I know with my listings cash offers get more attention. However a very low cash offer gets a counter. If its still not in the price range we just toss it out. Do your comps and know what a fair price should be. Everyone with cash can find deals in todays market. But you still need to do your homework. Or have a good agent who does his homework. Thank you 661-373-6577
Web Reference: http://www.daviddoylere.com
1 vote Thank Flag Link Sat Mar 24, 2012
Every deal I closed last year was a cash deal, I loaned the buyer the cash. We tried bananas once, didn't work.
1 vote Thank Flag Link Sat Mar 24, 2012
I love Bananas, it's a shame :-)
Flag Sat Mar 24, 2012
You can bid any price you wish - there is no "all-cash" formula. The final proceeds are the same to sellers whether it's an all-cash purchase or not. What you are really offering is an easier, quicker sure close to perspective sellers. To maximize a cash discount, you might consider overpriced or stale listings or properties with nonexistent or difficult financing (condos w/ HOA litigation, fixers, land, etc).

Best of luck
1 vote Thank Flag Link Fri Mar 23, 2012
Inventory is extremely low in Santa Clarita and cash is not always king. If a property is priced right with decent location under $500K it usually will go out in multiple offers especially if it isn't a short sale. If you have cash you can look into buying on the auction steps but that too is extremely competitive with investors. If you have time on your side the best bet would be short sales Most the time you can get those properties 5 - 10% under market. The key will be the right full time Realtor with inside connections.
Web Reference: http://Www.laura4homes.com
1 vote Thank Flag Link Fri Mar 23, 2012
Whoops. Cash and conventional are viewed by most the same due to the length of time it takes to close each. If you have cash head to the auction. 70-80 cents on the dollar currently.
Web Reference: http://Paris911.com/auction
1 vote Thank Flag Link Fri Mar 23, 2012
There are several factors to be considered. Potential appraised value, time on the market and actual ownership. On a short sale the trick is being the accepted offer. On a foreclosure it is about activity and how much faith you have in your banks appraiser. On a standard it's about time on the market and comps. There is of course some overlap but trust in your real estate professional. They will be your best guide.
Web Reference: http://Paris911.com/offers
1 vote Thank Flag Link Fri Mar 23, 2012
If you really want the home try not to low ball too much. If the home is in good condition and in a location you desire, I would recommend not going too much below list.

Cash is KING but if you go too low, you can loose the bid.


Best of luck to you,

Kawain Payne, Realtor
0 votes Thank Flag Link Sat May 12, 2012
You should offer at least $1.00 USD & expect a counter offer.

Shoot me an email if you want to talk about this some more.I don't look back on this same Trulia thread for answers posted after mine.

EmilyKnell1@yahoo.com
562-430-3053 c
Realtor Since 1996
Main Street Realtors
0 votes Thank Flag Link Fri Mar 23, 2012
You mean to say .....If there was 3 offers all for the same price.... One being cash...One 20% down and One FHA... You are saying the cash one wouldn't win??? Very Interesting... I have never seen an cash deal loose to a financing deal UNLESS the cash offer was way lower. Also if you clearly read what I said Laura .... I said "Cash is King BUT don't think a regular owner won't wait 30 days to make extra money" Meaning if you have cash and write an offer accordingly you will most likely end up getting the deal, but if you write the offer way under price then you may not.
0 votes Thank Flag Link Fri Mar 23, 2012
There is no lowest or highest offer that can be made on any property, even if the seller states that there is!
0 votes Thank Flag Link Fri Mar 23, 2012
Depends on how bad you want the property... and what are you looking to do with the property, to live in or flip. Cash is king...but don't think that a regular owner won't wait 30 days to get an extra $25-30k on the deal. A bank may take the cash offer but depending on the transaction is, is where you want to be. As with any offer you have to be happy with what you offer.... I had a client loose out on a house for $5000.00 dollars.... and yes she was not happy and wished she would of increased her price. There are a lot of all cash buyers right now, a lot..pretty amazing how everyone now has money to pay all cash.

Bottom line, do the research on the property...if you have a good honest agent listen to where they tell you to be in price and go from there.

Feel free to contact me anytime...email, phone or text.

James

--
James Sanchez
Broker / Realtor

Pacifix Realty
3500 W. Olive 3rd floor
Burbank CA. 91505
Direct: 818-402-9015
DRE# 01436395
Search for Homes @ PacifixRealty.com
0 votes Thank Flag Link Fri Mar 23, 2012
This is a tricky question, Zsaree. It really depends on the property you're bidding on, the type of sale, and the demeanor and motivation of the owner. Truly cash is king, but a seller may be just as happy to wait for a well-qualified buyer who needs to obtain a loan, if it means that the seller will ultimately net more than in a discounted cash sale.

The quick answer is, if you have real cash, buy your properties on the courthouse steps. The best investor deals are properties purchased after foreclosure but before MLS listing. If you buy retail (even REOs), you'll almost always pay more. Savvy investors take their cash to auctions, and typically see a greater profit whether flipping or holding as income properties.

If you're new to bidding on homes at auction, please feel free to give us a call. We can help guide you through the process, as well as assist you in marketing and selling your properties for top dollar, should you plan to flip your purchases.

It's a great time to build wealth through real estate. Here's wishing you much success!
0 votes Thank Flag Link Fri Mar 23, 2012
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