06-16-2010 01:44 PM
Typically you CANNOT see the other offers. And it is ultimately up to the seller what info they are going to give you. They may tell you lots of info - like how many offers and how much they are for approximately, but they may tell you nothing.
They are trying to sell for the highest price, so keeping some info secret, or sharing some info with others, all is done so the seller can sell for a higher price.
08-16-2010 11:59 AM
As stated by others, it depends on if it is a foreclosure, short sale or straight up sale. I choose not to bid on foreclosures since in Florida the banks are typically looking for an unspecified amount above the asking price. I also do not bid on short sales since all lienholders have to approve the offer. The 1st lienholder - the bank may approve but the 2nd lienholder - another bank and also the HOA who also has a lien on the property for non-payment of HOA fees aslo need to approve. Consequently, today, there is almost never enough money to satisfy the 2nd lienholder or 3rd lienholder who can hold up the approval.
In a straight-up sale, I usually give the seller 24 hrs or 72 hrs to reply on my offer. Remember, you need to put up some money when making an offer. How long do you want them to hold your money?
08-16-2010 12:24 PM
John, you are absolutely right. Everything is very situational, and can be different each property you try to purchase. Foreclosures, short sales, probates, and auctions all have very different details that need to be considered.
In addition to that, the situation can also vary by location.
...Remember, you need to put up some money when making an offer. How long do you want them to hold your money?
You mentioned that "you need to put up some money when making an offer.." but here in California, the buyer does not have to deliver any funds until 3 days after their offer is accepted.
Even with short sales, we use a short sale addendum that specifically states that ALL time frames do not begin UNTIL buyer receives a signed acceptance from all lien-holders.
Guess this just shows that you really need to do your homework on all the details! And align yourself with an experience local agent that can guide you through all the aspects of your home purchase.
08-16-2010 12:42 PM
Yes, Jason, here in Florida all offers must be accompanied with cash prior to knowing if the offer is acceptable to the seller. I certainly would prefer not to put up any money until I knew my offer was accepted, but I can understand how it limits the number of offers a buyer would make.
08-16-2010 01:41 PM
i am in florida... i had NO IDEA we had to give money along with offers. i know some say proof of funds and i just thought that was once it was accepted, but now i think about it and that wouldn't make sense.
i think it's a horrible thing to have to do....i wouldn't want someone holding on to A LOT of my money for a long time.
anyway, i just emailed my zip agent an offer on a bank owned foreclosure. about 3,000 less than the asking price. he had told me that banks will not sell lower than askng price, but i know that the community has a lot of short sale and foreclosures even regular sales and no one seems to be buying them. so if i see a price reduction happening 2-3 times i'm gonna think that no one is offering to buy it and the bank should just want to get rid of it and make some money..............right?
i've done so much research that my brain is starting to fry..lol, but i found one website i guess like a public records or something and found many in the community were bought out by banks or the association for $100. so if that's the case, they shouldn't get too greedy......especially for condos that are low priced and banks don't give loans for......it's all cash.
cash talks or i walk......either way, i'm waiting to hear back from him hopefully with good news or i'll just keep looking.
08-16-2010 03:35 PM
Not all banks hold out for more money than what they are asking, but most do. Your agent should be able to help you with your offer as to which banks accept less or hold out for more. I've bid higher than asking price and still did not get it.
Every offer I've made in Southern Florida had to be accompanied by cash to show I was serious. I've also been asked for proof of funds and had to get a letter by my bank that I had sufficient funds to pay the price I was offering.
You would think that the banks would be willing to just get rid of some properties but you can't prove it to me. It's also suppose to be a buyer's market. Well, a lot of banks and seller's must not have got the word because many are trying to squeeze every dime they can out of a sale.
Good luck on your offer and if it doesn't work out - keep looking!