All Forum Posts by: Dell Schlabach

the odds of getting a substantial discount early on are slim to none. 

Banks are a bit smarter then they used to be and discounts above 10% are rare especially I the first 30 days. Banks in our area typically drop prices about every 30 days 5,000-10,000 until someone buys the house. 

If I was offering and I was that far apart from list price I would offer the max I was willing to pay, or maybe 5,000 less in case they do a counter offer you can go up a bit. 

No sure what to tell you about questions to ask listing agent, what is it you want to know, those are usually good questions?

You can ask if they have had any other offers

What price offers the bank has rejected? 

What he thinks the bank will accept, most REO agents have a pretty good sense of that.

Ask anything else you want to know.

If you submit a lower offer, yes you can submit a higers offer after they reject your first offer. You don't have to wait for a relist.

Sometimes with low offers like yours banks take a long time to respond or don't respond at all, if they don't respond in a few days you can submit another offer. 

I would submit the offer right away, no need to wait a couple days

Hope that helps

 Every agent in your area can pull comps, and most every agent will be friendly to investors if there is a benefit to them. 

What is the benefit you provide for an agent? 

 Really, you couldn't offer 100.00 more to make your offer better then the other? 

Is this a private party, or bank? 

We have been known to offer 20,000 earnest money, no inspections, close in 7 days.

There are plenty of things that can separate you from your competition if the price offered is the same. 

We recently got a house for 10,000 less then another offer, because the above, on a bank owned house that had just fallen through because someone else couldn't close. The house had just come back on the market, and the had multiples, we were not the highest but the bank considered us the best.

If it's an owner, you can just be nicer then your competitor, you can bring the seller gifts, you can ask him what he needs, dies he need help moving, dies he need to borrow your pickup, get in a conversation and find out what his needs and wants are and fill one or two and that will set you apart and make your offer better. 

Trying to follow your logic here. 

How is a house valued at 162,000, in excellent condition, priced at 139,000, priced too high. I must be missing something. 

What do you mean do a deal through the realtor? Do you mean something other then writing an offer through the realtor? 

If not, the bank in all cases that I have seen, specifically disallows assignment if contract. 

We discovered a buried tank after a purchase recently, we left it undisturbed, noted it in the property disclosure. 

Got a contract the first weekend on market. Buyer didn't have issue with it,  we will see if the bank does,y realtor isn't expecting a problem with it.

Residential oil tanks are exempt from the federal regulations unless you have a spill. 

I would call the local health Dept and ask about local protocols. 

http://www.currenenvironmental.com/tank-removal/fa...

 Sorry to be the bearer of bad news but you have a couple problems here.

1. There is no room for a rehabber to profit let alone pay a "finder's fee"

If closing costs are

1,500 on buy side

 2,500 on the sell side

9,720 selling commission

600 taxes est 100x6 mo

600 insurance

7,000 cost of money 140k x10% 6 month

161,320 total costs

.... Assuming these numbers are close, would leave less then 1,000 profit, if you didn't get a fee and if there was no rehab needed which is unlikely. Granted if there was no rehab needed you could cut cost of money and interest and taxes down to maybe half.

But is doesn't allow money for rehab or profit. 

2. Banks do not allow assignment on short sales. 

@Michaela G. Is the Bigger Pockets resident expert on rehabbing Victorians I believe. 

Here are some links that should provide some insight as well.

https://www.biggerpockets.com/search?utf8=%E2%9C%9...

 There are still neighborhoods flooded with foreclosures? 

As arehabber the only thing I would really care about is, do you have retail sales in the area, and what does that look like. 

Non reos, what's average DOM 30-90-180

I would check to see what % of houses are selling within the first 30 and 60 Dom, I would see what those look like, and then can you compete in that selling price point and quality. 

I dont know the particilar REIA but if you look at the cost vs potential benefit.

Are you doing something else during that time that has a better potential of being highly profitable for you. 

I dont know the particilar REIA but if you like at the cost vs potential benefit.

Are you doing something else during that time that has a better potential of being highly profitable for you.