Banks & Lenders represent over 50% of active listings and over 50% of closed sales. The types of sales include those know as REO, Bank Owned & Foreclosures as well as Short Sales.
There are many facts and factors that these Banks and lenders would prefer that the buyers, Realtors and even the Federal Government were not told. Unfortunately for them their dirty little secrets are now being revealed!
- Banks need to sell their inventory quickly so iif the home is priced right get out and see it right away.
- A buyer of a well priced home should make a strong legitimate offer and give the best offer right away.
- Banks will usually counter offer anything below full price probing but don't want to lose a good buyer.
- Banks and their representative have no emotional ties to the home or property so threats mean nothing.
- All cash buyers with verifiable funds have an enormous advantage over those needing financing.
- Low Ball Offers get little attention unless all cash or undesirable properties.
- Offers on Bank Owned or Short Sale Listings need to have loan approval from a direct lender with the FICO Scores included, proof of the funds needed to close escrow and a good faith deposit check.
- Bank Owned Homes will either be priced to sell right away or have a price reduction within 30 days. Each time the home hasn't sold with the reduced price it will continued to have a price reduction until sold.
- Listing Agents for Bank Owned Homes are graded by the Bank on their performance.
- The Listing Agent for Bank Owned Homes will most likely give true information regarding other offers on the homes since saying there are other offers might discourage a qualified buyer from making an offer.
- Buyers of Bank Owned or Short Sale Listings should have their own Realtor represent them. A highly educated and knowledgeable local professional will be able to find out information the novice has the needed experience to ask.
- Bank Owned Homes are sold As-Is Condition, yet the Bank may negotiate to make repairs.
- The Bank may be willing to pay some of the buyers closing costs.
- Making an offer without an appraisal contingency puts the buyer in a stronger position to negotiate.
- The short the escrow the stronger the offer.
- The quicker the home inspection the stronger the offer.
- The shorter the contingency period the stronger the offer.
- Changing the terms of the contract after a deal has been made could and has terminated contracts.
- Banks frown upon a listing agent representing the buyer. Doing this too ofter could hurt the agent.
& the Federal and State Government should know that Banks have unfairly give listing and made wealthy people of a very few number of Realtor and allowed highly professional, knowledgeable Realtors lose their jobs! (Short Sales follow most of these secrets as well!)
Your Friend & Realtor,