Fort Lewis Foreclosure homes are flying off of the market the past few months. I’ve been able to lock up some great deals for my clients lately, but word has definitely got out. I’ve seen multiple offers on the best priced bank owned homes for some time, but competition is really heating up the past few weeks.
We’re experiencing multiple offers more often than not and the banks are offloading inventory quickly. If you have been sitting on the fence waiting for the “right” deal now is your time. Clean well priced REO’s are moving quickly.
Don’t expect to negotiate large discounts on a rock bottom priced bank owned home, that kind of talk is fine for the water cooler, but in the real world you’ll most likely end up losing out to another buyer. Here’s a few examples of deals we’ve been able to put together recently:
Spanaway-1328 sq ft 3 bed 2 bath built in 2006- under contract @ $170,000 No work needed
Puyallup- 1680 sq ft 3bed 2 bath built in 2005- under contract @ $201,000 No work needed
Puyallup- 1355 sq ft 3 bed 2 bath built in 2000-under contract @ $184,000 No work needed
Unfortunately, I’ve had several buyers that were attempting to negotiate insignificant discounts get left out in the cold this week as well. These opportunities may be once in a lifetime deals, don’t screw around trying to squeeze the bank for a couple thousand bucks, your competition will beat you and the banks know it.
Want to be a winner in this market? Here’s a few tips that will help you successfully negotiate for a bank owned home.
1. Get your pre approval out of the way BEFORE you start to look at homes. Call your Realtor and ask for a referral to a great lender. They are not all created equal. Your buyer’s agent will know who is closing deals on time.
2. Lock up an experienced, bank owned buyer’s agent with a buyers brokerage agreement. Your part time Realtor/Barrista isn’t well suited for this task. It’s time to find a full time pro that knows what the banks are looking for. The bank pays the commission, you don’t pay a dime out of pocket. Choose the wrong agent and you may lose the deal to a buyer with a more skilled agent.
3. Know the property values! You can try to do this research on your own online, but there is no better expert than a good buyer’s agent that is out there closing deals every week. Your buyer’s agent should know the property values inside and out.
4. Provide your lender with every piece of paperwork they ask you for A.S.A.P! Most bank addendum’s include a late closing fee of $100.00 to $150.00 a day. Closing late can cost you a lot of money very quickly.
5. Don’t waive inspections or contingencies! Our NWMLS contracts provide some very important contingencies to protect the buyer. Don’t waive them without fully understanding what you are giving up. Bank addendum’s will often supersede our contracts…Read them thoroughly and understand the risk before you sign!
With proper planning you can prevent poor performance. Get your ducks in a row and get out there and take advantage of this market if you can. If you are looking to pick up a deal in this market you need to be looking for Fort Lewis foreclosures.
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