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SD Realtor
ParticipantRaptor if you list your home, try to get in on the market in February if possible.
SD Realtor
ParticipantRaptor if you list your home, try to get in on the market in February if possible.
SD Realtor
ParticipantRaptor if you list your home, try to get in on the market in February if possible.
SD Realtor
Participantxbox –
Not at all (at least IMO). Commissions on REO properties (at least from my experience) are very competitive. Short sales are a little dicey because the lender approves a lump sum.
For instance, on a short sale (on the listing side) when you do get an offer, you send the lender everything, the listing agreement the contract, every single thing about the home, (this is on top of the ton of docs that the seller needs to deliver) and the lender will then make an analysis. The lender comes back with a number in terms of what they will accept. So lets say you have a seller with two loans, 500k and 100k and an offer of 420. Say the listing agent has a contract for 2% and the coop commission advertised is 2%. Now the lender takes all this into account along with an estmated HUD that you the listing agent send.
So the lender comes back and says okay we will accept x$ for the first, and x$ for the second (loans that is). Now the short sale asset manager will build in the commissions and estimated closing costs as well. So lets say out of the example above the lender comes back with a response that says we will accept 395k for the first, 1k for the second. Thus there is essentially 24k left over to be used for commissions, other closing costs etc… If it was short, then the agents need to work out a split somehow.
REO properties are sticky for lack of disclosure purposes and liability releases more then anything else. You will be informed that the lender is basically released from all liability because they have no clue about the home. It is not much different then buying a home from a trustee or probate sale. You need to be extra diligent with respect to your own inspections/diligence etc…Also you WILL be presented with lots of liability release docs that are well outside the scope of a normal resale transaction.
Once more this is all just my opinion. Yet I see plenty of REO with competitive commissions.
SD Realtor
Participantxbox –
Not at all (at least IMO). Commissions on REO properties (at least from my experience) are very competitive. Short sales are a little dicey because the lender approves a lump sum.
For instance, on a short sale (on the listing side) when you do get an offer, you send the lender everything, the listing agreement the contract, every single thing about the home, (this is on top of the ton of docs that the seller needs to deliver) and the lender will then make an analysis. The lender comes back with a number in terms of what they will accept. So lets say you have a seller with two loans, 500k and 100k and an offer of 420. Say the listing agent has a contract for 2% and the coop commission advertised is 2%. Now the lender takes all this into account along with an estmated HUD that you the listing agent send.
So the lender comes back and says okay we will accept x$ for the first, and x$ for the second (loans that is). Now the short sale asset manager will build in the commissions and estimated closing costs as well. So lets say out of the example above the lender comes back with a response that says we will accept 395k for the first, 1k for the second. Thus there is essentially 24k left over to be used for commissions, other closing costs etc… If it was short, then the agents need to work out a split somehow.
REO properties are sticky for lack of disclosure purposes and liability releases more then anything else. You will be informed that the lender is basically released from all liability because they have no clue about the home. It is not much different then buying a home from a trustee or probate sale. You need to be extra diligent with respect to your own inspections/diligence etc…Also you WILL be presented with lots of liability release docs that are well outside the scope of a normal resale transaction.
Once more this is all just my opinion. Yet I see plenty of REO with competitive commissions.
SD Realtor
Participantxbox –
Not at all (at least IMO). Commissions on REO properties (at least from my experience) are very competitive. Short sales are a little dicey because the lender approves a lump sum.
For instance, on a short sale (on the listing side) when you do get an offer, you send the lender everything, the listing agreement the contract, every single thing about the home, (this is on top of the ton of docs that the seller needs to deliver) and the lender will then make an analysis. The lender comes back with a number in terms of what they will accept. So lets say you have a seller with two loans, 500k and 100k and an offer of 420. Say the listing agent has a contract for 2% and the coop commission advertised is 2%. Now the lender takes all this into account along with an estmated HUD that you the listing agent send.
So the lender comes back and says okay we will accept x$ for the first, and x$ for the second (loans that is). Now the short sale asset manager will build in the commissions and estimated closing costs as well. So lets say out of the example above the lender comes back with a response that says we will accept 395k for the first, 1k for the second. Thus there is essentially 24k left over to be used for commissions, other closing costs etc… If it was short, then the agents need to work out a split somehow.
REO properties are sticky for lack of disclosure purposes and liability releases more then anything else. You will be informed that the lender is basically released from all liability because they have no clue about the home. It is not much different then buying a home from a trustee or probate sale. You need to be extra diligent with respect to your own inspections/diligence etc…Also you WILL be presented with lots of liability release docs that are well outside the scope of a normal resale transaction.
Once more this is all just my opinion. Yet I see plenty of REO with competitive commissions.
SD Realtor
Participantxbox –
Not at all (at least IMO). Commissions on REO properties (at least from my experience) are very competitive. Short sales are a little dicey because the lender approves a lump sum.
For instance, on a short sale (on the listing side) when you do get an offer, you send the lender everything, the listing agreement the contract, every single thing about the home, (this is on top of the ton of docs that the seller needs to deliver) and the lender will then make an analysis. The lender comes back with a number in terms of what they will accept. So lets say you have a seller with two loans, 500k and 100k and an offer of 420. Say the listing agent has a contract for 2% and the coop commission advertised is 2%. Now the lender takes all this into account along with an estmated HUD that you the listing agent send.
So the lender comes back and says okay we will accept x$ for the first, and x$ for the second (loans that is). Now the short sale asset manager will build in the commissions and estimated closing costs as well. So lets say out of the example above the lender comes back with a response that says we will accept 395k for the first, 1k for the second. Thus there is essentially 24k left over to be used for commissions, other closing costs etc… If it was short, then the agents need to work out a split somehow.
REO properties are sticky for lack of disclosure purposes and liability releases more then anything else. You will be informed that the lender is basically released from all liability because they have no clue about the home. It is not much different then buying a home from a trustee or probate sale. You need to be extra diligent with respect to your own inspections/diligence etc…Also you WILL be presented with lots of liability release docs that are well outside the scope of a normal resale transaction.
Once more this is all just my opinion. Yet I see plenty of REO with competitive commissions.
SD Realtor
Participantxbox –
Not at all (at least IMO). Commissions on REO properties (at least from my experience) are very competitive. Short sales are a little dicey because the lender approves a lump sum.
For instance, on a short sale (on the listing side) when you do get an offer, you send the lender everything, the listing agreement the contract, every single thing about the home, (this is on top of the ton of docs that the seller needs to deliver) and the lender will then make an analysis. The lender comes back with a number in terms of what they will accept. So lets say you have a seller with two loans, 500k and 100k and an offer of 420. Say the listing agent has a contract for 2% and the coop commission advertised is 2%. Now the lender takes all this into account along with an estmated HUD that you the listing agent send.
So the lender comes back and says okay we will accept x$ for the first, and x$ for the second (loans that is). Now the short sale asset manager will build in the commissions and estimated closing costs as well. So lets say out of the example above the lender comes back with a response that says we will accept 395k for the first, 1k for the second. Thus there is essentially 24k left over to be used for commissions, other closing costs etc… If it was short, then the agents need to work out a split somehow.
REO properties are sticky for lack of disclosure purposes and liability releases more then anything else. You will be informed that the lender is basically released from all liability because they have no clue about the home. It is not much different then buying a home from a trustee or probate sale. You need to be extra diligent with respect to your own inspections/diligence etc…Also you WILL be presented with lots of liability release docs that are well outside the scope of a normal resale transaction.
Once more this is all just my opinion. Yet I see plenty of REO with competitive commissions.
SD Realtor
ParticipantJames if I was at the party I would have been quite comical. I cannot say exactly what would have happened because I sincerely do not know. It could have deteriorated into a name calling frenzy or it could have been kept more civil (highly doubtful). Wife said he had a couple of drinks in him and I don’t drink at all so who knows how it would have turned out. I would have spoke my peace though.
In all I imagine it would have been far worse if I was there but I cannot help but think it would have been fun.
SD Realtor
ParticipantJames if I was at the party I would have been quite comical. I cannot say exactly what would have happened because I sincerely do not know. It could have deteriorated into a name calling frenzy or it could have been kept more civil (highly doubtful). Wife said he had a couple of drinks in him and I don’t drink at all so who knows how it would have turned out. I would have spoke my peace though.
In all I imagine it would have been far worse if I was there but I cannot help but think it would have been fun.
SD Realtor
ParticipantJames if I was at the party I would have been quite comical. I cannot say exactly what would have happened because I sincerely do not know. It could have deteriorated into a name calling frenzy or it could have been kept more civil (highly doubtful). Wife said he had a couple of drinks in him and I don’t drink at all so who knows how it would have turned out. I would have spoke my peace though.
In all I imagine it would have been far worse if I was there but I cannot help but think it would have been fun.
SD Realtor
ParticipantJames if I was at the party I would have been quite comical. I cannot say exactly what would have happened because I sincerely do not know. It could have deteriorated into a name calling frenzy or it could have been kept more civil (highly doubtful). Wife said he had a couple of drinks in him and I don’t drink at all so who knows how it would have turned out. I would have spoke my peace though.
In all I imagine it would have been far worse if I was there but I cannot help but think it would have been fun.
SD Realtor
ParticipantJames if I was at the party I would have been quite comical. I cannot say exactly what would have happened because I sincerely do not know. It could have deteriorated into a name calling frenzy or it could have been kept more civil (highly doubtful). Wife said he had a couple of drinks in him and I don’t drink at all so who knows how it would have turned out. I would have spoke my peace though.
In all I imagine it would have been far worse if I was there but I cannot help but think it would have been fun.
SD Realtor
ParticipantHi Marion –
Yeah suffice it to say that renting has been tough on the family. Alot of moving the past 3 years and mrs SD R is worn out by it. The last storm has helped us to identify a leak in the roof. Right over our shower. The landlord is working on getting a roofer for the past few weeks now. Anyways the mrs has also personally contributed a pretty good amount to the house fund over the past few years and acknowledges economic opportunity lost by purchasing now. She doesn’t ask for much, she works hard, she raises the kids, and puts up with me… Suffice it to say I got the better end of the deal. It is not all about the money in my case.
Please don’t confuse her stance or my description of her stance to be an endorsement for people to go buy now.
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