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I don't understand Assett managers at banks

By Peggy Magnanelli

Real Estate Agent with RE/MAX Results

August 13, 2010 03:59 AM

Ok, so I have a client who is getting an FHA loan. We look at bank owned properties. We find one that is a great house for them.

Anyone who has done an FHA loan knows that FHA has issues with any problems that have to do with health or safety.

I have a long conversation with the listing agent about this before I submit the offer. The bank who owns the property is Wells Fargo. The listing agent says "No Problem", Wells Fargo will do the work. they are aware of the probelms. (why they dont' do the work before hand I have no idea). So we submit the offer with a $2000 cap on the lender required repairs on the FHA addendum. The asset manager accepts the offer but wants to remove the $2000 on the lender required repairs. They want $0. Plus they are saying that they will not do any repairs, they will not renegotiate the price if the appraisal comes in low and they will not let the buyer do any repairs if the FHA appraisal comes back with any LENDER REQUIRED REPAIRS.

Ok so my question is why would they (the asset manager) accept an offer on a house with an FHA loan, when they know that the house will need lender required repairs? I am totally baffled.

Can any Asset Managers out there explain this to me?

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Karen Anne Stone

New Home Hunters of Fort Worth and Tarrant County - Fort Worth, TX

Fort Worth Real Estate

Peggy, first of all... bank owned properties don't do repairs, at least I have never seen them do them. Second, you sound confused ? But, if you think YOU'RE confused, just imagine a giant lender with so many different departments, and then know that NONE of those departments seem like they communicate with each other.

The "asset manager" just might have been selling hot dogs at the Camden Yards ball park as his last job. LOL.

Aug 13, 2010 04:09 AM

Debbie Laity

CinaJones Real Estate - Cedaredge, CO

Your Real Estate Resource for Delta County

You have to remember that you are dealing with one property, and the asset manager has many, many properties and agents to deal with throughout the country. Also some asset managers are easier to deal with and more understanding, while others handle their stress differently. It could be that the asset manager didn't remember this particular house needed repairs.

Aug 13, 2010 04:23 AM

Peggy Magnanelli

RE/MAX Results - Frederick, MD

Homebuyer/Seller Specialist

Karen I have had banks remove mold, and theo one I am dealing with is Wells Fargo who lately has been going in to houses and replacing appliances, painting and putting in new carpet. I just settled on a house where the bank when in and replaced all the flooring and painted the whole place. the listing agent has been in touch with the bank and the asset manager knows that it might not pass the FHA Appraisal. So if they know this in advance, why would they accept an offer with an FHA loan? And the bank addendums state quite clearly that the buyer can't make any changes to the property prior to settlement. I just do not understand. It makes no sense to me.

Aug 14, 2010 11:56 AM

I don't understand Assett managers at banks

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Peggy Magnanelli

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