A question I have about bank owned real estate....If you offer the asking price on a home owned by the bank, are they not required to accept the offer?

A question I have about bank owned real estate....If you offer the asking price on a home owned by the bank, are they not required to accept the offer?

I don't believe they do but can't imagine a situation they wouldn't except. Unless you are putting a ton of stipulations on the offer.

Banks can accept any offer they wish, or at least that has always been my dealings with them on bank owned property.

I've always been under the assumption that an individual selling a home can't reject an offer for the asking price (unless it contains stipulations). Heard the other day the same is not the case for bank owned homes and didn't think that sounded right. :idunno:

I've always been under the assumption that an individual selling a home can't reject an offer for the asking price (unless it contains stipulations). Heard the other day the same is not the case for bank owned homes and didn't think that sounded right. :idunno:

 

Um so your saying that if if I listed my house at say 200,000 and you offered that, I couldnt say nevermind not selling? That's nuts. In my dealings with real estate either party can walk away at any time until you sign on the line. (unless your in some blind bid, or auction type deal.)

Once the bank owns it they can take what they want for it, just like anyone else.

Once the bank owns it they can take what they want for it, just like anyone else.

 

Agreed, and if you pay asking price that the bank wants your foolish, talk them down, wheel and deal. If they want to get rid of the property they will.

There are no rules in the bank owned market. It all depends on who trhe banks is, who the investor is behind the bank, how long it has been on the market, etc.

 

The banks Fannie and Freddie always look for the cleanest offers not always the highest.

^Here's my scenario...a house just went on the market listed at $141,900. It's bank owned, was purchased back in 2003 for $180,000 and is valued at $199,500.

 

Would I really be stupid (as plantmanky suggests) if I offered list price? :idunno:

^Here's my scenario...a house just went on the market listed at $141,900. It's bank owned, was purchased back in 2003 for $180,000 and is valued at $199,500.

 

Would I really be stupid (as plantmanky suggests) if I offered list price? :idunno:

 

 

Do you know which bank it is with? If you do go to them or their agent and talk to them about the property, get a feel for who the bank/agent treats the property. By that I mean, are they eager to sell, are the content to let it sit for a while. From there its just as simple as any other home buying process. Remember the bank is trying to make money on this deal too. If their price is $141,900, then in most cases thats with a profit to them of some sort.

 

Im not saying you will be able to offer say $100,000 for the property and they will bite, but without seeing the property Id say you could offer between $130,000 to $ 135,000 give or take.

Also, if its Bank owned, who knows what the inside looks like, whats structuraly wrong with it. Some bank owned do not allow for a home inspection, its as is straight up. If thats the case, and you can get a walk through, take a home inspector with you, they will not be able to do a detailed inspection, but their eye can see things you wouldnt.

^Here's my scenario...a house just went on the market listed at $141,900. It's bank owned, was purchased back in 2003 for $180,000 and is valued at $199,500.

 

Would I really be stupid (as plantmanky suggests) if I offered list price? :idunno:

 

Not stupid if you really like the property and want it. However, I'd be shocked if the bank didn't have wiggle room as most people do that list property. I have a friend who bought a house last year that recieved 3 list prices offers the first day on the market. The seller notified each of the 3 to see if either wanted to up their offer, 2 of the 3 offered above list. Now that is a different scenario than bank owned likely sold "as is" property but if you want something you can never be stupid for paying what is asked IMO.

^Here's my scenario...a house just went on the market listed at $141,900. It's bank owned, was purchased back in 2003 for $180,000 and is valued at $199,500.

 

Would I really be stupid (as plantmanky suggests) if I offered list price? :idunno:

 

Is it in Campbell county? If so PM me the address and I will see if I can find out how deep in debt they are on the house. Most likely they are going to take the highest offer they can get (They are going to lose money on the house most likely) and who can close on the houses faster if they have multiple offers. Deals that involve financing fall apart all the time. If you are up against a cash buyer and you are financing you might be in trouble. How long has it been on the market?

^Here's my scenario...a house just went on the market listed at $141,900. It's bank owned, was purchased back in 2003 for $180,000 and is valued at $199,500.

 

Would I really be stupid (as plantmanky suggests) if I offered list price? :idunno:

 

Say for instance that it was in Alexandria and taxed at 199,400. Being Sold by BOA. Assuming the old loan on this was $227,000

 

That paid between $180,000 and $200,000 to buy this at court house steps.

 

They paid another $5,000 plus to remove the occupant and prepare it for sale.

 

Their motive is not profit but quick sale. Assuming the property has been on the market 2 days, you are most likely not the only one that thinks this is a bargian.

 

The only way that they will not take full list is if someone offers more. (Happens all the time.)

 

Remember they want to sell quickly

Say for instance that it was in Alexandria and taxed at 199,400. Being Sold by BOA. Assuming the old loan on this was $227,000

 

That paid between $180,000 and $200,000 to buy this at court house steps.

 

They paid another $5,000 plus to remove the occupant and prepare it for sale.

 

Their motive is not profit but quick sale. Assuming the property has been on the market 2 days, you are most likely not the only one that thinks this is a bargian.

 

The only way that they will not take full list is if someone offers more. (Happens all the time.)

 

Remember they want to sell quickly

 

That is the main thing with Bank owned properties, they aren't making money on these deals (Most of the time). They are trying to minimize their loss.

 

Looks like a good deal UKMF!