Bugsmom, Home Buyer in Greensburg, PA

I am very confused and agitated at how the sale of the house I bid on is going I am hoping for some help. We

Asked by Bugsmom, Greensburg, PA Wed Apr 29, 2009

placed an offer over 1 week ago with a 4 day time limit for an answer. We never got one and over a week later we are still waiting. I get a call today saying that my realtor got a multiple offer sheet. But she can't tell me if there is 1 other offer or 12. Nor can she tell me what they offered, so I have to make a decision on a counter offer with no idea on how much to go to. I just find it all very odd that I have to do this when my offer has been in and should have been accepted by now I originally offered full asking price plus all closing costs.Now this is a forclosure and I fully understand that a forclosure sale can take more time than a regular sale. Now we placed a new offer in and they have til 5 pm tomorrow to give us an answer. Am I wrong for thinking that something is awry? Please help we are so stressed out about this I don't think I ever want to do this again and I might end up renting forever because of this if it goes sour.

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6
Keith Sorem, Agent, Glendale, CA
Wed Apr 29, 2009
Bugs
Welcome to the world of real estate.
This is a great example of the free market at work. The fact that you don't know what is going on may make you feel lost, however, when you are dealing with a corporation, not an individual person, everything is like that.

I suggest that you talk with your Realtor about your expectations and feelings so you can come up with a plan. One of the most useful things a REaltor can do is tell their client what is supposed to happen when, like a timeline.

Owning a home has many advantages. Do not be deterred by problems. Focus on the goal. Nothing worthwhile comes easily.
0 votes
Amy Myers, Agent, Leechburg, PA
Wed Apr 29, 2009
Greetings Home Buyer,
This situation is common when working with foreclosures. When you make an offer the seller is not obligated to give you a response or even so in a timely fashion. Banks do this in many cases. Foreclosures often go for very low prices, attracting a wide variety of buyers. I have seen banks drop the prices so low and then end up getting multiple offers. I have seen some even go for a few thousand over list price. Any seller can sit on your offer, if you give the seller so much time to respond, this just means that you may choose another property after this date.

Banks can take up to 90 days to respond. Sometimes the bank may never respond. The bank will also state that it has no obligation to respond.

Your agent would not know what the other offers are or how many (unless she is the listing agent). The person representing the seller has an obligation to keep that info private.

So basically what is happening in your situation is normal for this type of process. You just need to be patient and always give your best offer. I have done several and have had buyers win and loose the bids.


Amy S. Myers, e-PRO
REALTOR, Sales Associate
Century21 American Heritage
21 Towne Center, Allegheny Twp, PA 15656
amy.myers@century21.com
(724)-845-4700 X 1330 Office (Cell 724-448-0085)
(724) 339-2831 Fax (E-Fax 1-866-269-0675)
http://www.century21ahr.com/
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Web Reference:  http://www.akhomes.info
0 votes
Peggy James, Agent, Lorton, VA
Wed Apr 29, 2009
Hi there,

Gosh...I know how frustrated you are. However chances are nothing is awry!

Unfortunately, when dealing with a REO (real estate owned property) banks don't care. .They look for the best offer that gives them the bank the best terms. It's not uncommon to find out months from now the offer that was the wining bid may not have been as high as yours. What are great terms for banks?A cash offer with a quick settlement will win, or a Conventional offer with no contingencies. Sometimes just asking for closing costs can be the kiss of death. Let your Realtor guide you. They know the local market.

Timelines and Cutoff's don't work when dealing with banks.

In our area, REO Agents/Bank price foreclosed homes at Teaser Low Prices ( we call them Stupid Low Prices) to rid themselves of the inventory. By pricing homes so low, it creates a BUZZ, and a BIDDING FRENZY. It's not uncommon in our area to go up against 10 even 15 offers. It happening all over the country. Try to relax...in my opinion, the low interest rates and $8000 tax incentive are great motivators. At 25 years of age I purchased my first home at 14.5% Interest Rates. That was the going rate back then and we had to put down 10%. Don't give up...you'll be missing the best buyers market I've seen in 20 years! Good Luck. Let us know what happens.

Read what's happening to buyers in Prince William County VA
0 votes
Heather Mori…, Agent, Allentown, PA
Wed Apr 29, 2009
Hello Bugsmom:

First of All, Please take a deep breathe and sit down with your favorite drink and relax - Remember, that ALL good things take time AND if this was meant to be it will BE. If it does not work out..then you where meant to be somewhere else in another home.

DO NOT GIVE UP! This is a huge decision and should be handled with care. But, yes the other comments here are correct about foreclosures...the process takes time. The price is usually the feature that attracts residential home buyers but the price does come with some other sarifices - Which usually includes repairs and a higher risk due to the extra paperwork you must signed. AND playing the waiting game. But, by doing hanging in there you may get a home at a good price.

In reference to the other offers. Yes, your agent can tell you how many other offers there are and who they are from IF the bank has told the seller agent they can release that information to your buyer agent. I am assuming you are not being represented by the seller's agent. and YES you are right you need to make your offer on the home without knowing what the other offers are..because who really cares? Everyone's value in a home is different. If the other buyer offers 10,000.00 more than list does not mean you are going to offer 15,000.00. Maybe you feel the home is only worth $5000.00 under the current list price? Right? You need to make your highest and best offer (whatever that is to you) and if that does not get you the house then it was not meant to be.

So, with Foreclosures, you must play the waiting game and if this drives you crazy and you can not deal with the pressure...and most can't and don't want to...AND this deal does not come together for you..Then you should look at homes where there is a seller living in the home and you can negotiate the old fashion way with less stress.

I hope this information helps you. I would also request your Agent to call you daily with updates...this will help you also.
0 votes
Terrence Cha…, Home Owner, Allentown, PA
Wed Apr 29, 2009
Full agreement with Michael. Also, you won't be able to see how much the other offers are for, but your agent should have no problem getting which office/agent those offers came from. This way, your agent can confirm that there ARE other offers on the table.

Hope that helps,

Terrence Charest, e-Pro
0 votes
Michael D De…, , 18969
Wed Apr 29, 2009
Bugsmom,
From my experience, when you are buying a foreclosure or a short sale, the banks drag thier feet. It is normal that you don't know what the other offers are. basically you need to give them your best offer and hope that it is taken. Your realtor should be able to guide you through the process but if you have any other questions, feel free to contact me.
The very best of luck to you!

Michael

Michael D Delp
Mortgage Pro
4802 Old Bethlehem Pike,
Telford Pa. 18969
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Fax- 215-453-1012
Cell- 610-762-0318
michaelddelp@aol.com
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http://www.mortgagepro.instantlender.com -
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