Foreclosures List Price VS. Actual Sold Price?

[Scott Cunningham]

Hello BP's.  I'm looking for some wisdom in regards to List Prices VS. Sold Prices.  I am working with an investment company. The deal is pretty straight forward.  I find the property, I get the commission on any accepted offers I place, and I get the commission on the sale after their rehab.  I also share in some of the profits on the margin they make.  

I am sort of hitting a wall on the analysis portion of the puzzle.  My burning questions are sort of summarized below:

When I find an REO (or probate listing or short sale for that matter), will the Bank, Lender (shortsale props), or court (probate sales), entertain offers below their list price? I can only assume it is a case by case scenario.. particularly depending on the market and my competition. However, there are some REO's that are offered at a terrific discount over the retail comps in the neighborhood. But, then there are others that are only 15-25 grand below market price, that really don't seem to be a good deal at first glance. That is, at first glance.. as they could be a good deal if its common or reasonable to come-in 40 or 50 grand below their List Price.

To really dig-into what the homes values are, outside of running CMA's on the comp, would require A LOT of windshield time. I don't mind the windshield time, but I don't want to waste my time driving all over town if I can simply rule out the property as a potential deal. So.. How Flexible are banks in the REO process? Any real world examples would be great!

I'm a Real Estate Agent in Southern California.  Properties are in the 350-600k price range.  3 bed 2 bath with a garage are the types of properties my investor is interested in. They are seeking to make a minimum of 25k per deal, after their modest rehabs, closing costs and commissions.