This weekend, representing a buyer we submitted an offer on a foreclosure property. This property is an REO (see the previous post, Foreclosure Terms for a definition of an REO.)
At the time we submitted the offer, we learned that there was an existing offer and were told a decision would be made by the bank that day... Saturday. Didn't happen. Monday rolled around and the bank came back to both parties and asked for each of us to give our "highest and best" offer. Of course they were trying to get us to competitively raise our offers.
Buyer # 1 walked away, leaving my client as the only and best offer on the table. But wait.... another agent said he was bringing an offer. But, says the bank, a decision will be made today... Monday.
Tuesday rolls around, no offer has been submitted by buyer # 3 on Monday, but they do write an offer on Tuesday. Bank again comes back and says, "highest and best" offer and a decision will be made today.
This is Tuesday evening, with no decision by the bank, and my buyers ready to buy a home and close it by the end of the month. Now, at this point, it has become clear the bank is not willing to be anything close to decisive, even though my clients have the best offer on the table.
Come tomorrow, Wednesday, the bank may just watch their highest and best offer walk away from the table. After all, there is another home, in the same community, for a relatively similar price... just waiting for a buyer.
This is a VERY typical scenario when buying foreclosure properties. Until the banks realize they have to handle their sales, at least remotely like a typical real estate transaction, they will continue to lose in the real estate game.
Jeff Edmisten
The Edmisten TEAM
Keller Williams Realty
(540) 538-7222
jedmisten@kw.com
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