I put an offer on a Freddie Mac property in need of a substantial rehab ($75-90k) last Friday. It is a 3 bedroom rowhouse in NE Washington, DC. Lots of new development going in; close proximity to Class A commercial, 3 blocks from Metro, 1 block from Harris Teeter. It was on the market for 2 days, listed at $161k. I offered $180k plus seller pays closing costs. 3br finished comps are at high-3s, low-4s.
I suspect I was the first to submit an offer given the snowstorm last weekend. The listing agent informed my Realtor on Saturday that he will delist the property on Monday and review offers on Tuesday.
My Realtor has informed me that the listing agent thinks the decision could be wrapped up by the holiday, but can't say for sure. The listing agent isn't actually talking to anyone. He’s going to a website and checking for updates from a specialist in Dallas. He did say that he’s received several cash offers over asking price. My concern is that I submitted my offer stating that I will use an FHA 203k loan and that I am a first time home buyer.
Does Freddie Mac put an consideration into accepting cash offers from obvious investors or are they encouraged by the Feds to increase home ownership to current renters?
Should I put in a second offer now knowing that I am competing with cash-only buyers? DC is VERY, VERY different than the rest of the country. It has and always be a seller's market. There is little supply and heavy demand.
