“A bank foreclosure just came up that we think is about 10% under-priced. My wife and I want to buy it to live in and would like to get a good deal. The main thing is to get the home, but of course we dont want to overpay. Do you recommend we offer below, at, or above the list price?”
***ANSWER:
Great question.
Each bank has different policies for multiple offers, each bank representative has different approaches, and each situation has different dynamics. So theres no sure answer, but Ill give it my best shot
If you feel its a hot property and will attract immediate offers, then offer at least full price or more, sometimes much more. (I just had one property sell for OVER 30% above list price.)
If its in an area with many foreclosures and/or an unattractive home, you might do best by offering full price or just slightly over.
What about offering below list price? Contrary to popular belief, well-priced homes commonly receive multiple offers quickly. So an offer below list price would be risky and unlikely to secure the property.
Check Out The San Diego Foreclosure Hot-List
