Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Listing price was higher than comps.
Made an owner/occupant cash offer over listing price on a homesteps house, 6 days after it was listed. Despite homesteps having 15 day for owner/occupant, the listing agent said the deadline for bidding had passed. No deadline was posted anywhere. Bid was accepted anyway, or so it seems.
After that, had a few deadlines for paperwork (multiple offer form) that we received emails for with only a few hours to respond.
A week later...
Apparently, FM countered one offer (which was apparently higher), and the buyer missed/back out... but hasn't even reviewed ours yet.
Listing agent is a bit cagey with my buyer's agent, but says it will be considered 'soon.'
Personally, I feel that my cash offer (over listing, over comp value) was pretty strong, and I'm surprised it hasn't even been considered.
From all my searching on the board, this seems a bit unusual for a Freddie Mac transaction.
In the market I'm shopping, they are overpriced during the 15 day window, and don't sell until they're dropped, and the offers still come in lower. For example $100k initial listing, dropped to 80k after 3-4 weeks or so, closes for $70k.
The listing broker makes very little money on these deals, it's all about volume. And they're often out of area brokers in my experience...
In the market I'm shopping, they are overpriced during the 15 day window, and don't sell until they're dropped, and the offers still come in lower. For example $100k initial listing, dropped to 80k after 3-4 weeks or so, closes for $70k.
The listing broker makes very little money on these deals, it's all about volume. And they're often out of area brokers in my experience...
So you're saying they won't sell the house to me for my cash offer over list price, and would rather hold onto it and drop the price?
So you're saying they won't sell the house to me for my cash offer over list price, and would rather hold onto it and drop the price?
No, they should accept it, if they don't get a higher offer before that happens.
My point was that they often list over comps (in my area and others have reported this in other areas as well) so that 15 day window is often no favor.
And the selling agent/broker is making so little money on the deal, that even though you've made a great offer, he's not highly motivated to work hard to close the deal.
Most people buying in cash are investors and won't pay over comps. Unless you have a super hot market, you should be fine...
My market is pretty hot, sadly. It went up 18% last year.
I think the price is a bit higher than investors are in for currently. Plus it doesn't really 'need' anything.
Comps actually put it at about 25k under my offer... but things are nuts here. who knows...
FM selected their best offer during the owner occ time frame. They negotiated only with that one offer for some period of time. It didn't work out so they are taking offers again. Your offer probably expired and they are asking you to re-submit. Do it quickly.
People always blame the listing agent. These agents do their jobs based on what the bank, the seller, requires. They are graded based on certain criteria, and stand to lose the REO business if they don't meet the requirements of the seller. I have found that many of these listing agents are not the best in terms of communications because the might be dealing with 50 offers on a lower priced house and cannot possible chat with each agent that calls. Sucks when you're the agent that calls but it's how it often works.
Even the listing agents have a hard time getting info from the banks. They submit offers, the bank selects one, the listing agent follows through on the counter offers, and it proceeds or starts over.
So, we received confirmation of offer from Freddie Mac this time. We didn't last time. Perhaps we can assume the agent never actually sent it in.
Here's the odd parts:
First look ended on 2/21, and offers were supposed to be submitted by agent to FM by then.
The confirmation says mine was submitted today (So they held the offers an additional day so investors could make offers?)
But that's not what concerns me as much...
They put my offer date as 2/25, expires 2/26.
It's very hard to get a response out of the listing agent...
I don't understand why you worry about investors with their cash offers. They usually on the low ball part and depending on your offer they will be out of question.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
