All Forum Posts by: Diana Klauman

 Thanks!  Will post an update soon, hopefully. 

 Thanks T Stewart.  Comps have been my biggest challenge.  The area I am looking at has such a wide variety of property type it's difficult to find anything that is similar builing, age, square footage.   

Yes @Brent Coombs that is sold.  ☺

 Thanks for the posts Phil Z.  Interesting food for thought about Wells Fargo.  I understand what you are saying about comps.  There are no comps within 1 mile radius that are even close to size.  Everything seems to be about half the size or twice the size!  Even those at half size are about $165,000.  So then the comps I mentioned in earlier post would actually be accurate (they are similar size, better condition and in 2-3 mile radius)?  So then theoretically  I don't lose 20k but come out ahead.....

 Thanks Reggie!  I think you are right.  What do I want?  I think it's a pretty good deal and am going to go for it.  Rehab around $60k.  Hoping for less but giving a generous budget never hurts!  I think transaction is about $1700.  Inspection is a contingency, since the one thing I can't evaluate myself is the septic.  Finding out about that after purchase would NOT be a nice surprise.  

 Brent, the house is in a great location with no other foreclosures.  I am looking to purchase home for myself.  Maybe a BRR in the future.  Most homes in the area are $200k or more.  Not in my entry level budget. Thanks for the response and thought provoking question!

 Thanks for the info Phil Z.  I got a counter offer yesterday for $85,000.  I am going to search for comps in the more realistic range of $110k-120k.  Next offer I'm thinking $55k now,  along with justifications (roof,siding, insulation, drywall, appliances,  driveway grading, tree removal, mechanicals, deck repair).  

Offer $55k, rehab  $60k puts us right in the middle at $115k for what reasonable comps would be.  Would it make a difference if I said I would finance through Wells Fargo?

Thanks in advance for any comments/suggestions!

Hello BP!  Short time reader first time poster.  

Facts:  

List REO price $88,900. Cash or conventional. Listed for 65 days (I know it's longer but listing was allowed to expire and then was relisted). Reduced $5,000 after first 30 days on this listing. Wells Fargo owns it. Last purchase price of home was 10 years ago for $113,000 in move in condition. Comps for the property are about $165,000, but don't think they are realistic since they are all 10+ years younger and variable in SF. Listing agent said there had been 1 previous offer but they couldn't come to terms. (Don't know how long ago it was or what offer price was. My agent asked but listing agent simply said "I dont know". Listing agent also didn't know what minimum bid was for auction). No action on property

I put in a low ball offer yesterday after seeing property-50% LP.  Cash, 30 day close, inspection contingency.  The offer works for me but I'm sure it won't work for bank.

Questions:

If I have opportunity to counter, will Wells Fargo bite if if I make offer price the same but say I will use Wells Fargo as lender with 30%down?

Should I just go up by $500-1000? 

I know this will depend on the original response but let's play the what if game.  WF comes back with $85,000.  

Thanks for your comments/suggestions!