Offers on Short Sales & Foreclosures

Over the last few weeks I have been working with clients to get them into homes. The market is ever changing and can be very difficult if your not armed with the right information. That is what I am here for.

In a previous posting I talked about getting a CMA to make sure that you don't over pay for a home. However there are parts of that which can be construed has a double edge sword. Many of the homes that my clients have lost come down to the price they are welling to pay. Banks only want to deal with serious buyers, buyers that are willing to pay top dollar. Before you send me an email about what I just wrote let me explain.

Yes the people of the USA have an ownership in most banks do to the TARP funds they received late last year and even early this year. However the banks are already taking a hit on the homes when they sell them has either a short sale or a foreclosure.

This is probably going to be some of the best advice I can give you, after your agent runs a CMA on the property make your highest and best offer if that means offering a price over list and up to the market price then do it, you will have a better chance of getting the property that someone that thinks they can get a better deal. There is of course a catch you need to know about that can work in your favor. Lets say your offer is accepted and it takes 2 months before things start moving and the prices in the area drop and you are not paying cash but getting a loan like FHA, VA or Conventional then they would have to lower the property price down to the market price. So you can see how offering your highest and best price can be important.

This concludes this blog.

See you soon

Sean T. B