Minnesota Real Estate Investors Association, Inc.

Menu

Have you been making offers on REO’s only to get frustrated that none of your offers are getting accepted? I feel your pain and frustration. This is something that I have also been struggling with.

So why are our all of our offers getting rejected at such a high rate? There are a few reasons that I can think of. First of all, the banks have received so much federal bailout money that they are not hurting as much as one would think; therefore they are not pressured to liquidate their inventory fast. In fact a lot of their inventory never even makes it to the market, but rather quietly slides into the “Shadow Inventory” category.

Secondly, we have been competing with first time home buyers who are looking for a deal and beginning investors who are looking for rentals and plan on doing a light rehab rather than a full blown rehab, which enables them to offer less than most of us do. But don’t feel bad, the dirty truth about a lot of these investors is that their inexperience causes them to get hurt financially in the long run. I get calls from these types of investors all the time asking me how to get out of trouble with these properties. Unfortunately the only thing I can tell them is that they have no choice now but to hold on to the property for the long run and hope that the market value increases to recover their losses. I have even had two recently that came to me for help after they out bid me on the same property. Opps... 

So how can we improve our odds of getting our offers accepted? The answer is twofold. First of all, time will work in our favor. Most of the first time home buyers are out of the market and the ones that are left are starting to look for completely rehabbed properties. This will eventually drive down the prices of the REO’s that need rehabs, cosmetic face lifts and code compliance.

Secondly, I have just recently developed a new set of tools to help more accurately determine the rehab costs and a Scope of Work, worksheet that is automatically generated from the Repair Estimate Worksheet, that can be submitted with your offers to the banks to help justify you offers.

How To Video’s

If you don’t have a free account with www.RealEstatePromo.com, then you will need to create one in order to watch the “How To Video’s” and you will need to upgrade to a premium membership to use the Repair Estimate Worksheet and the Scope of Work.



Related Posts


Category: Foreclosure ( 34)
It is now our time to shine!
We have had a very interesting year featuring a myriad of different twists and turns

Category: General ( 77)
Who will bail out the banks?
Do you remember the original 3 page bailout bill that President George Bush proposed, but was voted down? The finally bailout bill that was passed one week later was 450 pages long and they must have excluded the 3 original pages

Category: Real Estate ( 90)
Housing prices and mortgages rates make real estate affordable.
As prices drop, foreclosures go up and interest rates fall, there has never been a better time to buy.

Tags


craps online3/9/2012

onlinegame965@gmail.comIts very good post.I like it.

Don12/9/2011

don.chambers.pub@gmail.comI find that I get more offers accepted if I waive the inspection period. Of course, you have to be pretty good at estimating repairs (and put in some cushion). I also offer cash and stress no appraisal is needed. I then refi after closing and borrow the rehab money. These conditions make the seller feel like they can get the house off their books and they are more likely to accept a deal. I had one deal accepted on Jun 22 and I am still waiting on it to close. The seller (BoA) is dragging their feet. I am getting tired of buying REOs (I have 13) and have just created a website that I hope will generate some quality leads (but it has not yet). I would welcome your opinion: http://sellmyhouseinwarnerrobins.com I plan to put out some bandit signs at the first of the year. I have never done this and will document it on my blog.

Annuities Geek12/2/2011

christiehartshorn@gmail.comIf you want your home to appeal to more buyers so that it moves quickly and for the most value, you have to know how to handle packaging your property. This is something that's a lot easier said than done. Read this article and use these tips to help you package and sell any property you own. If you find that your home is sitting on the market for longer than you had hoped for, you may need to change the deal, instead of jumping to a lower the price. If your home is selling for $275,000.00, you can throw in a percentage that you can offer to pay, in order to help cover the closing costs. If you are selling your home you need to be particularly careful about the way that you price the home. You want to find out the price of the most expensive and least expensive homes in your area and stay somewhere in the middle. If you price the house too high and need to keep reducing the price it will give a warning sign to potential buyers.

VPS hosting10/27/2011

hanko42@gmail.comThats not good the banks have received so much federal bailout money that they are not hurting as much as one would think

miami beach condos7/29/2011

veronicacervera16@yahoo.comIts true about the first time home buyers who are looking for good deals and beginning investors who are looking for rentals. Eventually home buyers learn the truth about rehabbed properties.

make money investing in real estate Baltimore MD4/28/2011

aldrin110r@yahoo.comI think this question is one every bodies mind. Everyone wants to get more offers accepted. I read the whole article and I can say that with this, I can really get more accepted offers. I better try this one.

sonia.mike7324/14/2011

sonia.mike732@gmail.comI appreciate your work. Keep it..

Freelance Copywriter4/7/2011

sethczerepak@gmail.comYou have some great how-to information on your site. Thanks!

Credit Card Debt Relief3/31/2011

castillodonald9095@yahoo.co.ukI recently came across your blog and have been reading along. I thought I would leave my first message. I don’t know what to say except that I have enjoyed reading..Thanks for the sharing. Keep posting.

loft42seattle.com3/31/2011

pingbackPingback from loft42seattle.com How To Get More Offers Accepted :: Real Estate Tips

lainvestmentrealestate.wordpress.com3/27/2011

pingbackPingback from lainvestmentrealestate.wordpress.com How To Get More Offers Accepted « Los Angeles Investment Realestate

Ramona3/8/2011

mahb0002@gmail.com Well, one important advise I like to give is, look more through the properties, they are many that even at full price are great deals, Look into flip, rent, or Contract for deed. Try to get the best out of it..... being frustrated on a situation, is not good for buyer or Agent. It does not have positive outcomes. Know your game well, bit as much as you believe it is reasonable. Use a professional. Use a person that is well aware of the values, and can predict some values in areas... in your case, you sounds like an experienced professional... so you know the answers... but carry this small advise to others..."if it is a real good price, it is OK to bit full price or over, but don't get emotional... also, it is OK to back up, always have Inspection 7 business days a time to allow for the back up...

realestateinvestingnewswatch.com1/27/2011

pingbackPingback from realestateinvestingnewswatch.com Investing In REOS: How To Get Banks To Accept Your Offer In A Flash | Real Estate Investing News Watch Blog Aggregator



Name:
Email:
Website: