What are the pros and cons of having a "back up bid" in place on a short sale/foreclosure property?

Asked by Scoober, Orange Beach, AL Sat Mar 5, 2011

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Shane Willis, Agent, Pensacola, FL
Fri Apr 8, 2011
Lots of cons very few pro's. I guess if I was hunting for a pro I would use the short sale analogy and say if you knew the intial offer was hitting bumpy times then perhaps a backup offer may cut negotiation time down. I am really stretching here
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BG, Home Buyer, Phoenix, AZ
Sat Mar 5, 2011
can't even think of 1 pros ... but many cons
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Michael Emery, , Minneapolis, MN
Sat Mar 5, 2011
If the owner / bank is view only one offer at a time, your offer would be considered if their attempts at negotiating with the 1st offer are exhausted.

I think there might be more of an advantage in a foreclosure sale because if you're the backup on a short sale and the first party negotiates for multiple months and drops out and then YOU end up negotiating multiple months, that's a whole lot of time that's wasted.

Another aspect to consider is if you're the back up offer because the home is pending inspection and the 1st buyer drops out, you would have to be concerned as to what was revealed in the inspection.
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