This concept or idea may work for some of your REO deals out there.
I recently had a transaction where I represented the buyer (which was a general contractor) with a purchase on a REO property.
As usual the home inspection came up a little dirty and the buyer wanted to ask the seller (Bank) to give a repair credit for some unsafe items.
We did not want the lender to get involved and see the repair credit on a typical (request for repair form or other addendum form) due to the fact that this would throw up a red flag and the lender would most likely make it mandatory that the repiars be completed prior to closing.
So instead of the traditional request we asked for the credit as an adjustment of price on a counter offer even after we had an accepted offer and were 1 week into escrow
As leverage we disclosed 2 different bids from contractors to the sellers agent and seller only. The seller acknowledged the safety issues and agreed to the reduction in price.
My buyer was so happy for the reduction and very thankful once the tranaction closed. Saving my buyer an additional $10,000.
I just thought this may help some fellow AR's.
Good Luck!
Nate Diones
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