I am a a REO listing agent in the Phoenix Metro area, I have listings throughout the valley but mostly in the western cities of Glendale, Peoria, Surprise, El Mirage, Avondale and Goodyear.
I really enjoy this business, it is a fantastic opportunity and you have to take the rough with the smooth, some homes are in perfect condition and some are a science experiment in the making. you have to be ready for anything from leaks to property preservation issues to getting calls from the local police at 1am (Saturday last)
These homes for the most part are great buys, you can buy and close most REO's with the banks i deal with within 2weeks to a month. We will talk you through the process and what happens next. The banks are great sellers for the most part, they are a totally unemotionally seller, it is all about the numbers, make them work and you have a deal and don't and we don't.
some things to think about when bring a buyer to one of these homes
- the listing agent knows the condition of the home, spending 15 minutes saying that our offer is low because there is stains on the carpet and it smells is something we already know, I've been in all my listings and know the condition.
- A low offer is just that, a offer, don't submit at 50 cents on the dollar and expect the seller to fall all over themselves to accept it, be reasonable in your offers, let them have some basis in reality, run comps check out the area. some times a contract at full price is cheap and other times $50k under asking is expensive.
- I will work to present your offer in the best light, talk to me, let me know what the thought process is for the buyer, the banks goal is to dispose of assets at the best price and to the best available buyer.
- Have your loan in place, that means an approval letter attached to the contract, most banks wont consider a offer without it, If you are putting any cash into the deal show where it is coming from, a photo copy of the bank statement balance showing the buyers name and balance usually works.
- each bank has their own system and time frames, this is not a normal deal some are extremely fast and some are slow,
- the banks all have their own counter offer and addenda, usually these are general in nature as they are in use in many states, they are usually non negotiable.
- follow timeline's that are in the contract, the buyer is responsible for keeping up their end, if a lender does not perform the buyer is responsible,
- we (listing agents) are a resource, i for one don't have time to play games, talk to me, let me know how i can assist
- In our area auctions are on the rise, these are not real comps, they are a special case where Banks are freeing up capital in a fast manner, the fact that some one bought a home in a area at auction last week has no real bearing on what is going on today, that home is gone if the buyer wanted it they should have gone to the auction and bought it there.
- Water and electricity will be on for the inspections if it is safe to do so, gas that in most cases wont for the safety of the property and neighbours,
I'm sorry if i have gone on, work with the listing agent, get the story, represent your client into the home not out of it. In Arizona the market looks bad but the trends that I'm seeing is that homes are selling although at prices way off their highs but selling all the same.
Air conditioning
Central A/C
