Can we submit new offer on REO property if it remains on the market in the next few weeks/months? Is there a waiting period between our offers?

Asked by heatpreschool, Tampa, FL Thu Nov 22, 2012

We recently submitted an offer on an REO property. It's been for sale almost a year, and has come down about $30k from the original list price in Dec. '11. We love the property, but it was at the high end of our budget. We offered $10k off the asking price) with seller's paying 3.5% closing costs and contigenicies based on financing, appraisal, etc. Bank counter offered at list price and agreed to 3% closing, but removed everything else from offer. It was hard, but we refused, mostly due to budget limitations. With repairs added onto financing, we would not qualify for total amt. If home remains on market, and asking price is further lowered, would we be able to resubmit a new offer? Bank stated on counter offer that home was going to auction in 3 weeks, but our mortgage broker tells us that probably isn't the case, and it's often a marketing ploy to encourage buyers to move quickly. If the property should still be available in a month, would we be allowed to submit a new offer? Thx!

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6
Marie Barakat, Agent, Carrollwood, MD
Thu Nov 22, 2012
IF the property is still available, you can definitely try to submit another offer. I cannot say whether your agent was correct about the property not going to auction though, so it may not be available and that is something you should think about as well. If this is a home you really do want, you may want to think about submitting an offer sooner than the auction. Either way, there is no limit to the amount of times you can submit an offer on a home. Thanks and good luck in your home search.
1 vote
Lynn Brock, Agent, Sarasota, FL
Sat Jan 5, 2013
Heatpreschool, sounds disheartening that you were not able to secure the property on the first go around. Yes, quickly submit your highest and best offer, along with a new pre approval letter. Did you conduct a home inspection last time? You can include that with your offer to demonstrate what the repairs consist of and the amount of the repairs with receipts/quotes.

Sounds like time is running out and that you will have to move quickly before the property goes to auction.

Best regards,
Lynn Brock
Brock Realty Inc.
941.313.1234
http://www.brockrealty -inc.com
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0 votes
Lisa Reeves, Agent, Tampa, FL
Fri Nov 23, 2012
There are all types of bank-owned properties, banks, and asset managers. Sometimes you get the right mix and they price properties aggressively, fix small items, and really try to sell the property. Sometimes you get properties and wonder "does the bank even want to sell?" It sounds like you have one of these properties. Whether its the asset manager being just ridiculous or maybe its the bank that has unrealistic managers, who knows? Have your agent have a hear to heart with the REO agent and see if you can get some insight. That being said, I have submitted offers for buyers every few weeks on a property until it was auctioned. It still didn't sell because the auctions were only winning bids to negotiate with the bank not true winning bids. By that time we found another property that was much better and the right price. So keep looking at other homes, and keep bidding on this one.
0 votes
Dyana Metcalf, Agent, Tampa, FL
Thu Nov 22, 2012
If the property has been on the market for a year there may be another reason besides being over priced. For a home to get financing, it has to pass the appraisal so I would have your agent make sure it can be financed. In the Realtor remarks it will usually give the available financing options. Also, I would have your agent check if the house was previously listed in the mls. Many bank owned homes were previously listed as short sales and I've found you can get some great information. One home my client liked a house that had previously been a short sale that had Chinese drywall. Remember with bank owned you get no property disclosures and they warrant nothing about the property. Be sure to do your homework with bank owned homes because sometimes with what seems to be a great doesn't always turn out to be.
0 votes
Lisa Lowe, Agent, Belleair, FL
Thu Nov 22, 2012
ACT FAST before the property goes to auction. Re-submit your offer as your 'highest, best & final'. Be sure to include your pre-qualification letter. If the Bank still doesn't accept your offer and the property does go to auction, don't despair. Many times when a property goes to auction there is a minimum acceptable bid the Bank must get, although the bidders at auction will not have that information. If that happens, sometimes the Bank will put the house back on the market. Every Bank has a different protocol as does every auction. Ask your Real Estate representative for more details about the auction process and best of success finding a home that fits YOUR budget. Be strong and patient - the right home always comes along when you least expect it.
0 votes
Danielle Sha…, Agent, Cape Coral, FL
Thu Nov 22, 2012
You can always submit another offer. And unless your mortgage broker is a licensed, practicing real estate professional they should stick to giving mortgage advice.
0 votes
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