REO Agent Won't Respond.....Options ?

[Pamela LEE]

I found an REO my 85 year old Mom wants to buy in lieu of getting a place in FL. It is closer. I finally got in touch with the listing agent and he said he could get me a good deal if I went with him. I was not comfortable with the dual agent thing for conflict of interest, so went with a buyer's agent. We submitted the first offer, no response, he resubmitted it, and got a counter with only a few dollars off, we submitted a 2nd offer, and the counter was higher than the last. At this point, I got confused. My agent tried to get in touch with the listing agent to find out what was going on, and could not reach him. He basically said he could not help me with this and for me to go to the listing agent and call him out on his offer. Talk of ethics was brought up and bypassing the agent to the seller, but he did not want to do anything to stand in the way of getting this house for my Mom. I finally reached the listing agent again, and he basically said there was another offer, and if I were to offer such and such, I would probably get it. I over bid just to be safe, and he was supposed to submit it that day, and call the seller at my request to say we were putting in a bid. I did not hear from him for days and days. He did not submit it that day, but 3 days later, and after my persistence, and more days passing, he emailed that a higher bid got it, and after further persistence, he said it got multiple offers. No more response from him. Found out all of that was untrue, and it has no offers on it right now. My question is how do I buy this house for my Mom ? Can I bypass him and go straight to the seller ? Noone will tell me the sellers name. Do I call his agency ? Since ResNet is a portal for agents, then he has control of the bids, rejecting, and so forth, right ? If the seller gave him directions to just get the highest bidder or whatever terms, then it's up to him, right ? I don't know how to do this. I would of walked a long time ago, but my Mom loves where this is, and I want to do it for her. She needs a peaceful place to enjoy. Please, if anyone has any advice or suggestions, it will be greatly appreciated.

[Patricia Steiner]

The #1 thing you can do - right now, just you - is to stop making this one property a "gotta have at all cost" home.  When you do, you lose all negotiating power.   

The second thing you can do is to stop making this about the REO agent. You need to understand how that world works and the role of the REO agent: The REO agent prepares the property for market on behalf of the institution, completes the valuation and marketing of it. What he doesn't do is award bids. He's not the owner. He is not the decision maker. The financial institution (the owner) decides which bids are the best in terms of price, terms, and best chance of closing the quickest. It's an analytical process - not emotional. The institution counters and awards bids and communicates through the REO agent. Bottom line: The REO realtor cannot tell you what to bid or accept your bid. Stop dealing with him. You're wasting your time and energy.

So-o-o, what's the real problem here?  It may be your bid - or the terms, or the way it is written - or the lack of proof of funds/pre-qual, or a whole host of factors. It may be that there's been so much interest that the institution is willing to hold out a bit longer for a cash offer or higher one. You should also know that REO properties are a favorite with cash buyers and both local and out-of-state investors so the competition can be great.

What to do?  Get another realtor. Find a realtor who is a high producing buyer's realtor in your market.  Someone who knows how to win. The realtor will write the offer - provide supporting documentation proving you can close; you need to stay out of the way and let the realtor advocate and win this for you.  You should have no communication with the REO Agent or the institution.  None.

And, I simply cannot believe that this is the only house - on market or not - that is the only right one for Mom.  That's a lot to put on something that is simply brick and mortar.  

Your mother is blessed to have a daughter who so wants her to have what she wants when she wants it.  You can't win if you don't know how the game is played - and if you make it an emotional play.  I hope you'll find the right realtor to represent you and Mom - and let that person get it done for you.