is the listed price on a foreclosure the price that would be accepted.?

Asked by Helene Moretti, 02917 Sat Aug 4, 2012

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Territory.c…, Agent, MA,
Mon Aug 6, 2012
Typically with foreclosures the list price is what the bank is willing to accept and they can be very difficult to negotiate with so expect very little wiggle room unless it has been on the market for a long time. That said, it is always worth a try so offer the price you are comfortable making. Also, remember that foreclosures are usually priced below market value.

Good luck!

Territory.com
Massachusetts Premier Buyer Brokerage
Web Reference:  http://territory.com
0 votes
Ron Thomas, Agent, Fresno, CA
Sun Aug 5, 2012
LISTING PRICE
Understand that the LISTING PRICE has one primary objective, to attract attention: It is not intended to be set in stone, and in many cases it is not even a good guideline toward the SELLING PRICE.

Some Sellers believe that by setting the LISTING PRICE high, they can always come down, and people will make an offer anyway: WRONG! Buyers will just bypass the property and look at houses that are within their price range. And six months from now, the Seller will slowly start lowering the PRICE, (this is called “chasing the curve”) and Buyers will be asking the question; “What’s wrong with that house?” and “Why has it been on the Market so long?”

Other Sellers set the LISTING PRICE low, to attract multiple offers. (The correct strategy.) We are asked; “Aren’t you obligated to sell at this price if someone offers it?” The answer is probably not; for that to happen, you would first have to have only one offer, and secondly, the offer would have be exactly the same, down to the smallest detail, (please discuss this with your Realtor).
Another thought; Buyer will search for potential properties by groups; for example, $400,000 to $450,000, and $250,000 to $300,000. If your house is priced at $460,000 or $310,000, the Buyers will never see it. (something else to discuss with your Agent.)

Different Banks have different philosophies about pricing their properties: You cannot draw any conclusions without a good analysis.

Have your Realtor do a CMA, (Comparative Market Analysis) to help you determine your Offering Price. It is the surest way to determine the Market Value of the property.
0 votes
Anna M Brocco, Agent, Williston Park, NY
Sun Aug 5, 2012
Depends....in order to determine a fair offer review comps with your agent, recently sold similar properties in the immediate area, see what the data suggests and go from there; keep in mind that if a property is priced on target, or slightly below, multiple offers may occur....
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Michael Emery, , Minneapolis, MN
Sat Aug 4, 2012
As with any real estate listing, the listing price is an 'offer' to sell and does not necessarily reflect the price that will end up being accepted by the bank. Many foreclosed homes are purposely under priced when listed which can bring a flurry of multiple offers above asking price. There are also foreclosed homes that are overpriced and will sit unsold until the price is dropped.

The best chance of having your offer accepted is a cash offer with quick close or a conventional mortgage with quick close. You can (and should) still have it accepted even if it says 'as is'. Just don't count on the bank making repairs should something come up in the inspection.
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