Starting To…, Home Buyer in Grand Ledge, MI

Made an offer of 85K on REO listed at 81,900. Seller pays 6% closing costs. Asked for Best and final deadline tonight at 5.

Asked by Starting To Hate Homebuying, Grand Ledge, MI Wed Jan 26, 2011

House is a 1400 sq ft tri level on 1.75 acres built in 1990. very clean needs paint and a few drywall patches. Just listed on the 21st made offer on 22nd. Two other offers have been made. Best an final has been asked for by 5 pm tonight. I was thinking of going to 90K with seller still paying 6%. That would net them over list price. I know everyone says bid what you think it's worth but no one wants to pay more than necessary. What do you think my chances are at 90K.?

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16
Lorrie Groth, Agent, Huntley, IL
Wed Jan 26, 2011
Unfortunately there is no way for us to tell you what your chances are. My best advice is to make a deal that you are comfortable with. If you don't get it then you can be secure in knowing that you tried but did not go beyond your "comfort" zone. Good luck!
1 vote
Leila Swint, Agent, Lansing MI 48911, MI
Thu Nov 7, 2013
Make your best offer but do NOT go outside of your financial comfort zone. If you do not get the house, it wasn't meant to be and something better will come along :)
0 votes
Pam Bava, Agent, Rochester, MI
Tue Feb 1, 2011
Starting, If that is all you wanted to pay I hope you stuck to your offer. They want to sell it also. What's the latest update?
0 votes
Starting To…, Home Buyer, Grand Ledge, MI
Fri Jan 28, 2011
Update onthe house. After submitting our best and final at 91K and decling the non refundable deposit scenario the asset manager for the bank asked us for ANOTHER best and final. 3rd time now. WTF! What part of final doesn't this jerk off understand. How long can they keep doing this. I said my best and final was still 91k.
This home buying business is starting to look a little shady. It's like buying a car from slippery car salesman.
0 votes
Vera Gonzalez, Agent, Sterling Heights, MI
Thu Jan 27, 2011
Starting to hate,

Here it is bid whatever you can live comfortably with go in with your best shot ! You only get one chance. Th ink of how you will feel in the morning if you lose it. If you love it bid your best or you will lose it there is no magic percentage or dollar amount.

Good luck,

Vera
0 votes
Starting To…, Home Buyer, Grand Ledge, MI
Wed Jan 26, 2011
Ok I have some more info now. We submitted a new offer of 90K this morning. This afternoon the REO agent responded that there were now 5 offers and two of them have been rejected and the remaining three, us and 2 others, were extrememly close and needed to supply his asset manager with a good reason why we would be the one to choose. They also wanted to know if we would forfeit the refund of our earnest money deposit after inspections. I told my realtor no way I will forfeit EMD of 2% and to resubmit final offer (we had until 5pm tonight) at 91K.
We have a prequalified loan of up to (249,000) The underwriter has stated we need our down payment (3.5% for our FHA) and 2 months reserves. We have all of this and offered inspections within 5 days of signed sales contract and a close date of March 4 or sooner. I believe they will keep nickel and diming us to death so I told my realtor this is it and we will not move any further.
0 votes
Alex Munoz, , Yuma, AZ
Wed Jan 26, 2011
before you submit your high offer do your home work and ask your self if you really want this house and what benefits will you have in the future in paying higher than asking price....good luck
0 votes
Jessica Hood…, Agent, Gambrills, MD
Wed Jan 26, 2011
Best of luck to you Greg. I would love to get a same day bank response but that hasn't been my experience in the past. Based on the info you provided though it looks like your offer was well thought out and I really hope you get that house!
0 votes
Jessica Hood…, Agent, Gambrills, MD
Wed Jan 26, 2011
Hi Starting,

As long as you bid in line with comps and condition you should be fine. Banks don't want to be in the real estate business and most of them are dealing within reason. I'm not sure of protocol in MI but in Maryland if we tried to put a timeline on a bank for an answer or counter offer they would just chuckle at us. Those guys generally work on their schedule & terms and I've never gotten a same day response on a foreclosure.
0 votes
Eduardo Saav…, , Anaheim, CA
Wed Jan 26, 2011
Dera Home Buyer:You make no mention of how much downpayment you are going to make on the loan this would make a difference when the property apprisal is made to see if the loan is goinf to cover your offer. There is no mention of a Real Estate agent I would never advise anyone to purchase a property without professional help there are too many forms to fillout and the agent would be able to comp the property and be able to tell you what your best and hifghest offer should be. All this at nocost to you since the seller pays the commission.

RE/MAX TerraSol
Eduardo"Eddie"Saavedra
Direct (714)588-2925
esaavedra@remax.net
DRE LIC. @ 01407443
0 votes
Dallas Texas, Agent, Dallas, TN
Wed Jan 26, 2011
Ask you buyers agent !

Virtual opinion is not to your best interest we not seen the property you could be overpaying on home based on comp's and conditions and etc etcl

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes
Tim Moore, Agent, Kitty Hawk, NC
Wed Jan 26, 2011
I always tell buyers that an offer with seller paid closing costs is just like offering less by the amount of the closing costs. Sellers look at the bottom line and not how they get there. Your offer for more than list price on the REO was a good move until you took out $5000 making it below list. Offering $90k minus $5400 puts you right at list price which puts you in the ball game. Obviously the bank has other offers they are looking at since they asked for final and best offers, so what is it worth and what is it worth to you? I am betting even at $9ok it's a deal. Go for it if it's what you want.
0 votes
Phil Rotondo, Agent, Melbourne, FL
Wed Jan 26, 2011
Good Morning Starting;
There are a lot of variables to what is considered "highest and best".
The bank may consider:
Investor vs. Homeowner
Cash vs. finance
Quick close vs. 30-45 day close
Inspections or Inspections waived
Price
.
It's hard to tell because nobody knows what the other offers are.
Give it your best shot; and if it was meant to be it will happen.
Web Reference:  http://www.321property.com
0 votes
Sally Grenier, Agent, Boulder, CO
Wed Jan 26, 2011
No one here can tell you how likely are you are to get this house. What does your agent say? What does your lender say your closing costs will be? 6% sounds pretty high to me. Your offer might be more attractive if you don't ask for so much in closing costs. Also....keep in mind that if you're getting a loan, the house will have to appraise for the purchase price. How badly do you want the home? Are you willing to put more money down in order to get it? Good luck!
0 votes
Susan Cullom , Agent, PALM BEACH GARDENS, FL
Wed Jan 26, 2011
The big question is, whats it worth to you?

Sellers like Bidding wars. Check the Public Records & MLS, for similar sales.....
This Site may help with "Recent Home Sales": http://www.city-data.com/zips/48813.html

Lender Owned properties are not, always a bargain nor priced correctly, in my opinion.

Any Offer should be contingent on a Professional Inspection.

Would not guess at your chances.
0 votes
allan erps,A…, Agent, Pearl River, NY
Wed Jan 26, 2011
Hello, Hard to advise you on where to go with your offer and the competition at hand.The only thing you may wish to consider is offering an "odd" number, i.e. $91,000. That way if two offers cam in at $90,000 you would have a 50% chance depending on financing, etc. Wish you well, Allan
0 votes
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