REO sale at less than our offer

[briansd1]

[quote=temeculaguy]There is another explanation, you said it sold for about 2% less than your offer. But if your realtor was set to make a 3% commission, then the net offer was actually 1% more than yours. You don’t know the listing agent’s comission if they also became the selling agent. Sometimes if they get both sides of the deal it is lowered, with reo’s, since there is very little work on the seller side, it is sometimes very low. If you asked for any consessions, or if you had fha financing that comes with costs to the seller, that knocks down your net offer. Having the listing agent represent you gives you the advantage of knowing what the other offers are. It isn’t supposed to work that way, but it does. More than likely, the other offer was probably a few hundred more “net” to the bank and the listing agent adjusted their commission to make it so.

Search old posts but I’ve written about this fairly extensively and in my reo buying saga, I failed to win until I went without a realtor. Realtors are great for standard sales, even short sales, but for reo’s that are being dumped quickly by a certain date, you need to go it alone (sorry realtors). There just isn’t anything they can do for you, you can’t be protected from much, it is an “as is” transaction. There are clauses that a realtor can include in a contract, there are things they can request, inspections that can be done, but in the reo “highest net offer by friday” scenarios, those clauses get your offer thrown in the trash, cause the other offer doesn’t have them.

My suggestion is to find your own properties and go straight to the listing agent as soon as possible. Don’t dally around, be able to look at a property and make an offer within 3 hours of it listing, that’s how you win. To do this you may need to stalk properties before they list, read the no trespassing signs, call the number that is listed for emergency contact on the sign and try to get them to hint as to who the listing agent will be (sometimes the emer contact is the future listing agent).

If it makes you feel better, you can pay a realtor or an attorney a fixed fee too look over the paperwork and do it on the side, away from your offer. But just know that any delay can sink you.[/quote]

I don’t remember reading your old posts on REOs. But I’ll look for them.

Good advice. I have my eyes on a duplex REO (not in San Diego) that went into hibernation for the winter. I’ll try your strategy when it relists again.

[temeculaguy]

Here is the link that defines the strategy the best, the intro has my story and page 2 has more specifics on the exact strategy.

http://piggington.com/tg_closes_escrow

Some of the links don’t work as good as they did back then. Riverside county no longer gives out as much personal info and foreclosure sites give out less free info than they did. I’m sure there are ways now, I just don’t care as much, as a last resort, these public records are available in person at the county recorders office wherever the property is located.

As to BG’s comment about listing agents not caring about you because they represent the owner. That is true, that is important in every transaction except the “dump them in a day reo’s” where a buyers agent can slow you down and trip you up. Now that I saw the part about your realtor asking for a 45 day escrow, that is probably the reason you lost and the fact that she was slow/late is another reason, two strikes right there. Get a new realtor.

When my deal went down, I contacted both SDR and sdr and was going to have them do my deal but the distance was an issue as they do not work up here much and I needed them to be here in 5 minutes so I went straight for the listing agent and since that particular agent couldn’t technically represent me, I used the partner/friend of the actual listing agent at a pre negotiated 1% comission. Normally buyers don’t haggle with their agent, but in the case of these “best net offer” scenarios, your agent’s comission is coming out of your net offer so you are actually paying it. I think 1% is fair if I found it, I did all the work, all they have to do is write the contract and I tell them exactly what to write. It literally took 20 minutes. Did they kick some money back to the listing agent, are they related or friends with them, did the listng agent owe them a favor because the reverse happened the week before. I don’t know and I don’t care, but I had gotten the short end of the stick, like you and it happened a half dozen times because I was going only for distressed homes.

If I was in SD, I would use sd or SD, because it was a little nerve wracking with nobody actually on my side. But I’ve met both of them in person, drank with them and trust them, they think like me. If you look at what SDR wrote, most realtors don’t understand what he explained, that the more they try to protect your interests, the more they screw you out of the house. If they try and protect you, they are dooming you, in this type of scenario only, any sign of resistance or reservation, no soup for you.

I will say that both SD and sd were silent advisors to me through the process, I got advice from both on the many properties i failed to get, so I owe them their props. But I was bargain hunting, I was looking for a lucky break and had I used them with all the previous failures, they would have put in hundreds of hours of work before ever getting paid, so it’s probably better they are far away. I would have drove them nuts. Back then, in 2008, short sales were a mess, banks almost never went through with them, repos were unorginized and very few realtors could wrap their heads aroung this new paradigm. It’s a bit of a different ball game today so only some of what I wrote two years ago is applicable, good luck.

[temeculaguy]

Here is the link that defines the strategy the best, the intro has my story and page 2 has more specifics on the exact strategy.

http://piggington.com/tg_closes_escrow

Some of the links don’t work as good as they did back then. Riverside county no longer gives out as much personal info and foreclosure sites give out less free info than they did. I’m sure there are ways now, I just don’t care as much, as a last resort, these public records are available in person at the county recorders office wherever the property is located.

As to BG’s comment about listing agents not caring about you because they represent the owner. That is true, that is important in every transaction except the “dump them in a day reo’s” where a buyers agent can slow you down and trip you up. Now that I saw the part about your realtor asking for a 45 day escrow, that is probably the reason you lost and the fact that she was slow/late is another reason, two strikes right there. Get a new realtor.

When my deal went down, I contacted both SDR and sdr and was going to have them do my deal but the distance was an issue as they do not work up here much and I needed them to be here in 5 minutes so I went straight for the listing agent and since that particular agent couldn’t technically represent me, I used the partner/friend of the actual listing agent at a pre negotiated 1% comission. Normally buyers don’t haggle with their agent, but in the case of these “best net offer” scenarios, your agent’s comission is coming out of your net offer so you are actually paying it. I think 1% is fair if I found it, I did all the work, all they have to do is write the contract and I tell them exactly what to write. It literally took 20 minutes. Did they kick some money back to the listing agent, are they related or friends with them, did the listng agent owe them a favor because the reverse happened the week before. I don’t know and I don’t care, but I had gotten the short end of the stick, like you and it happened a half dozen times because I was going only for distressed homes.

If I was in SD, I would use sd or SD, because it was a little nerve wracking with nobody actually on my side. But I’ve met both of them in person, drank with them and trust them, they think like me. If you look at what SDR wrote, most realtors don’t understand what he explained, that the more they try to protect your interests, the more they screw you out of the house. If they try and protect you, they are dooming you, in this type of scenario only, any sign of resistance or reservation, no soup for you.

I will say that both SD and sd were silent advisors to me through the process, I got advice from both on the many properties i failed to get, so I owe them their props. But I was bargain hunting, I was looking for a lucky break and had I used them with all the previous failures, they would have put in hundreds of hours of work before ever getting paid, so it’s probably better they are far away. I would have drove them nuts. Back then, in 2008, short sales were a mess, banks almost never went through with them, repos were unorginized and very few realtors could wrap their heads aroung this new paradigm. It’s a bit of a different ball game today so only some of what I wrote two years ago is applicable, good luck.

[temeculaguy]

Here is the link that defines the strategy the best, the intro has my story and page 2 has more specifics on the exact strategy.

http://piggington.com/tg_closes_escrow

Some of the links don’t work as good as they did back then. Riverside county no longer gives out as much personal info and foreclosure sites give out less free info than they did. I’m sure there are ways now, I just don’t care as much, as a last resort, these public records are available in person at the county recorders office wherever the property is located.

As to BG’s comment about listing agents not caring about you because they represent the owner. That is true, that is important in every transaction except the “dump them in a day reo’s” where a buyers agent can slow you down and trip you up. Now that I saw the part about your realtor asking for a 45 day escrow, that is probably the reason you lost and the fact that she was slow/late is another reason, two strikes right there. Get a new realtor.

When my deal went down, I contacted both SDR and sdr and was going to have them do my deal but the distance was an issue as they do not work up here much and I needed them to be here in 5 minutes so I went straight for the listing agent and since that particular agent couldn’t technically represent me, I used the partner/friend of the actual listing agent at a pre negotiated 1% comission. Normally buyers don’t haggle with their agent, but in the case of these “best net offer” scenarios, your agent’s comission is coming out of your net offer so you are actually paying it. I think 1% is fair if I found it, I did all the work, all they have to do is write the contract and I tell them exactly what to write. It literally took 20 minutes. Did they kick some money back to the listing agent, are they related or friends with them, did the listng agent owe them a favor because the reverse happened the week before. I don’t know and I don’t care, but I had gotten the short end of the stick, like you and it happened a half dozen times because I was going only for distressed homes.

If I was in SD, I would use sd or SD, because it was a little nerve wracking with nobody actually on my side. But I’ve met both of them in person, drank with them and trust them, they think like me. If you look at what SDR wrote, most realtors don’t understand what he explained, that the more they try to protect your interests, the more they screw you out of the house. If they try and protect you, they are dooming you, in this type of scenario only, any sign of resistance or reservation, no soup for you.

I will say that both SD and sd were silent advisors to me through the process, I got advice from both on the many properties i failed to get, so I owe them their props. But I was bargain hunting, I was looking for a lucky break and had I used them with all the previous failures, they would have put in hundreds of hours of work before ever getting paid, so it’s probably better they are far away. I would have drove them nuts. Back then, in 2008, short sales were a mess, banks almost never went through with them, repos were unorginized and very few realtors could wrap their heads aroung this new paradigm. It’s a bit of a different ball game today so only some of what I wrote two years ago is applicable, good luck.

[temeculaguy]

Here is the link that defines the strategy the best, the intro has my story and page 2 has more specifics on the exact strategy.

http://piggington.com/tg_closes_escrow

Some of the links don’t work as good as they did back then. Riverside county no longer gives out as much personal info and foreclosure sites give out less free info than they did. I’m sure there are ways now, I just don’t care as much, as a last resort, these public records are available in person at the county recorders office wherever the property is located.

As to BG’s comment about listing agents not caring about you because they represent the owner. That is true, that is important in every transaction except the “dump them in a day reo’s” where a buyers agent can slow you down and trip you up. Now that I saw the part about your realtor asking for a 45 day escrow, that is probably the reason you lost and the fact that she was slow/late is another reason, two strikes right there. Get a new realtor.

When my deal went down, I contacted both SDR and sdr and was going to have them do my deal but the distance was an issue as they do not work up here much and I needed them to be here in 5 minutes so I went straight for the listing agent and since that particular agent couldn’t technically represent me, I used the partner/friend of the actual listing agent at a pre negotiated 1% comission. Normally buyers don’t haggle with their agent, but in the case of these “best net offer” scenarios, your agent’s comission is coming out of your net offer so you are actually paying it. I think 1% is fair if I found it, I did all the work, all they have to do is write the contract and I tell them exactly what to write. It literally took 20 minutes. Did they kick some money back to the listing agent, are they related or friends with them, did the listng agent owe them a favor because the reverse happened the week before. I don’t know and I don’t care, but I had gotten the short end of the stick, like you and it happened a half dozen times because I was going only for distressed homes.

If I was in SD, I would use sd or SD, because it was a little nerve wracking with nobody actually on my side. But I’ve met both of them in person, drank with them and trust them, they think like me. If you look at what SDR wrote, most realtors don’t understand what he explained, that the more they try to protect your interests, the more they screw you out of the house. If they try and protect you, they are dooming you, in this type of scenario only, any sign of resistance or reservation, no soup for you.

I will say that both SD and sd were silent advisors to me through the process, I got advice from both on the many properties i failed to get, so I owe them their props. But I was bargain hunting, I was looking for a lucky break and had I used them with all the previous failures, they would have put in hundreds of hours of work before ever getting paid, so it’s probably better they are far away. I would have drove them nuts. Back then, in 2008, short sales were a mess, banks almost never went through with them, repos were unorginized and very few realtors could wrap their heads aroung this new paradigm. It’s a bit of a different ball game today so only some of what I wrote two years ago is applicable, good luck.

[temeculaguy]

Here is the link that defines the strategy the best, the intro has my story and page 2 has more specifics on the exact strategy.

http://piggington.com/tg_closes_escrow

Some of the links don’t work as good as they did back then. Riverside county no longer gives out as much personal info and foreclosure sites give out less free info than they did. I’m sure there are ways now, I just don’t care as much, as a last resort, these public records are available in person at the county recorders office wherever the property is located.

As to BG’s comment about listing agents not caring about you because they represent the owner. That is true, that is important in every transaction except the “dump them in a day reo’s” where a buyers agent can slow you down and trip you up. Now that I saw the part about your realtor asking for a 45 day escrow, that is probably the reason you lost and the fact that she was slow/late is another reason, two strikes right there. Get a new realtor.

When my deal went down, I contacted both SDR and sdr and was going to have them do my deal but the distance was an issue as they do not work up here much and I needed them to be here in 5 minutes so I went straight for the listing agent and since that particular agent couldn’t technically represent me, I used the partner/friend of the actual listing agent at a pre negotiated 1% comission. Normally buyers don’t haggle with their agent, but in the case of these “best net offer” scenarios, your agent’s comission is coming out of your net offer so you are actually paying it. I think 1% is fair if I found it, I did all the work, all they have to do is write the contract and I tell them exactly what to write. It literally took 20 minutes. Did they kick some money back to the listing agent, are they related or friends with them, did the listng agent owe them a favor because the reverse happened the week before. I don’t know and I don’t care, but I had gotten the short end of the stick, like you and it happened a half dozen times because I was going only for distressed homes.

If I was in SD, I would use sd or SD, because it was a little nerve wracking with nobody actually on my side. But I’ve met both of them in person, drank with them and trust them, they think like me. If you look at what SDR wrote, most realtors don’t understand what he explained, that the more they try to protect your interests, the more they screw you out of the house. If they try and protect you, they are dooming you, in this type of scenario only, any sign of resistance or reservation, no soup for you.

I will say that both SD and sd were silent advisors to me through the process, I got advice from both on the many properties i failed to get, so I owe them their props. But I was bargain hunting, I was looking for a lucky break and had I used them with all the previous failures, they would have put in hundreds of hours of work before ever getting paid, so it’s probably better they are far away. I would have drove them nuts. Back then, in 2008, short sales were a mess, banks almost never went through with them, repos were unorginized and very few realtors could wrap their heads aroung this new paradigm. It’s a bit of a different ball game today so only some of what I wrote two years ago is applicable, good luck.

[jeeman]

I bought my house as a regular sale at an REO price. It can be done, it matters how badly the sellers want to sell.

[jeeman]

I bought my house as a regular sale at an REO price. It can be done, it matters how badly the sellers want to sell.

[jeeman]

I bought my house as a regular sale at an REO price. It can be done, it matters how badly the sellers want to sell.

[jeeman]

I bought my house as a regular sale at an REO price. It can be done, it matters how badly the sellers want to sell.

[jeeman]

I bought my house as a regular sale at an REO price. It can be done, it matters how badly the sellers want to sell.

[Author]

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