Bank owned homes in "good" areas rarely turn out to be great bargains when all is said and done. True bargains are there, but they are in areas that many buyers don't want to be be in - hence the bargains.
There is no set "method" for banks moving these homes - everyone does their own thing so there really is no answer to your question. If you have an agent, you might have them keep a finger on the listing agent and ask them to keep you posted on the bank's actions. If you don't have a buyers agent, get one - do not deal with the listing agent of a bank owned home, NEVER EVER.
Before doing anything you must have an idea of what the house is worth, what it needs in repairs and what it's worth after clean up. If the numbers don't work then walk and wait for the next one. Understand that this is usually a very prolonged and frustrating operation.
There's a method to the madness - we do this frequently both from the appraising side and the buying side - please let me know if we can help - thanks
Hank Miller, SRA, ABR
Associate Broker & Certified Appraiser
Prudential Georgia Realty
If you have found a home that meets your expectations, our recommendation is to not wait ultil the bank lowers the price to your comfort level but to make them an offer that is both a consideration of the current property value and your personal affordability.
Don't wait.....toss your hat in the ring and see what happens.
We can not emphasize enough the importance of utilizing the skills of a real estate professional to guide you throught the process. If you don't have an agent, contact one today. We would be happy to refer you to a top agent in your location.
Chai, good luck with your search.
Susan & Bill Eckler, GRI
Michael Saunders & Company
Your offer should be based on comparable home sales prices (comps), the condition of the property and any other things your agent considers important rather than the list price. In many cases, the lender and listing agent are both counting on an unrepresented buyer agreeing to pay the list price (which may be above the real comps), but your lender will place more weight on the appraised value of the property in the evaluation of the loan rather than the list price. As agents, we don't provide value estimates or opinions, but we do share insights on the best offer price for a property based on the most recent sales of homes in the area.
REALTORÂ® / Consultant - Keller Williams Realty Atlanta Partners