Fwd: Great advice from KWAZ agents on getting offers accepted in competitive price ranges

Crouchman

Begin forwarded message:

From: "Melanie Johnston" <melanie.johnston@cox.net>
Date: August 19, 2009 1:00:29 PM PDT
To: "FrontDesk 280" <frontdesk280@kw.com>
Subject: Great advice from KWAZ agents on getting offers accepted in competitive price ranges

Thank you to everyone who responded. Those of us running into the brick wall of rejected offers appreciate you giving us a leg up in our attempts to climb over that wall.

 

Here are the VERY HELPFUL responses we received. If any more trickle in, I will send another update to all. I'm encouraged by this insider's advice and the successes you have had.

 

Thanks again!

 

Melanie Johnston

KWAZ

melanie.johnston@cox.net

 

__________________________________________________________________

 

 

Ted Dudine:

 

Not unlike Short Sales, 1) I "interview" the Agent on the Selling side to see how they conduct business. 2) Often, this saves me writing an offer, as I find out what is up with the property as AWC seems to have lots of meanings! 3) Sometimes, you also have to go after the less obvious deal, or the not so cute house and then try to get as much stuff for your client as you can from the Lender...all the things that have to be fixed to make it FHA-worthy. Sorry if these tips sound like something from the "Mr. Obvious" Show!  

 

 

Doug Weissman:

 

I am closing 3 homes this month all under $135K.  I have found it important to check Flex every single day for new listings posted in the last 24 hours.  If you can get your clients out on short notice it gives you first look and first opportunity to bid.  I also find it valuable to call the listing agents for information. Some agents are willing to have "off the record" conversations that help the process. Some will tell you it is a waste of time to submit an offer because it is to low or several other offers have been submitted. I have found this technique a valuable time saver. Hope this info helps.

 

 

Linda Sykes:

We stopped asking for 3%; 1% seemed to get better responses. Bank accepted and came back and offered to buy warranty.

 

 

Laurie  Coe, Associate Broker:

My partner and I have had similar experiences. We try to show a property as soon as it hits the market. We find out if the listing agent is taking multiple offers or one at a time. We try to determine who will be negotiating. I also file violations against agents who have offers, but keep the listing active. Even with this in mind, we have also written many offers and gotten nowhere. This is a tough market. I have been licensed since 84 and never seen anything like this. Sorry to hear your frustration. Wish I  had the magic bullet.

Andrew Engel:

From a listing agent's perspective, good offers are:   1) First in line, first in time...Offering after the first 2-3 days means your probably out of the race already, if the property is priced right. If the listing remains unoffered after 15-30 days, then there is a reason. 2) Cruise neighborhoods of interest for new yard signs, they pop up before MLS listings do. 3) If you're asking for closing costs, gross up the offer. Remember there is nothing wrong with a 110% offer plus closing costs offer.  The seller (Bank) cares only about their Net.  4) Bring your strongest offer.  It would be a shame to loose this house over $5,000 or even $10,000. Find the clients monthly payment comfort level and go for it! 5) Make sure your offers are clean, typed, complete, even fill in the selling agent's name, make sure your LSR is updated. Make sure it is right the first time. 6) More Earnest money and a higher down payment is better for seller, but it makes buyer seem stronger and more likely to close escrow. 7) Don't be afraid to make an offer on an unpriced home.  The rules with respect to presenting offers to sellers in a timely manner are still in effect even with REO properties. 8) Understand the valuation process, so you can pull and adjust comparable properties and make smarter offers. 9) Do your homework on an area. Read the listings, look at the tax records, see other properties in the area. Research is your friend, the listing agent may not be. 10) As the buyer's agent be easy to get a hold of - Always have cell, fax, email, office contact information on every communication. When leaving a voicemail leave your phone number twice, once at the beginning once at the end.   Not sure if that helps, but that's from a listing agents perspective. Lastly, as this is only my opinion and I could be completely wrong.

 

Tricia A. Schadle:

Had the same problem with a first time home buyer that didn't have all cash but finally we got one for $52000 in May with 3% down and FHA financing

 

We found a property that was up for auction and made an offfer before it went to auction, that way we were not competing against a bunch of investors.  The buyer had to pay the auction premium in cash $2600, but this would have to be paid anyways once it became an auction property.  Also, they chose a property that they loved but was not the traditional cookie cutter type home, in other words, it is a bit different but the best part was being move in ready. Good Luck!