Thursday, December 18, 2008

I caved in... Again!

So the whole time I was negotiating on the 2nd set of condos I was planning on holding/renting/L/O/etc. Point being I was going to hold them. Now that we've closed and I just think about holding I get sick to my stomach - ha, ha. No, not that bad but I do become a nervous wreck. I know I feel this way because it is unchartered territory, fear of the unknown, yada, yada, yada. So on my drive home from work last night, which has been up to 2 hours EACH WAY this week b/c of the snow, I told myself I was going to send an email to my buyers list and I did. Immediately I got an email and a VM from someone saying he was interested. I also had another email this morning from the same guy who bought the first set of condos giving me a "tentative offer" but that he needed to talk to his partner (the dingbat of a realtor I spoke about in previous blogs). I would be making waaay less money this way BUT it would still be a good payday and I wouldn't be holding on to the properties for an extended period of time.

When I asked my realtor if she could meet them this weekend she said sure, no problem. She also mentioned that she was going to be there for 1 appt on Sat. and 3 appts on Sunday. We'll see how it all pans out. Wouldn't it be a Christmas miracle to sell to qualified retail buyers?! I'm not counting on it but it would be a great present, that's for sure. Not THAT would be a great payday!

I put an offer on a property for $42k and has a list price of $89k. The bank came back at $86k but, here's the kicker, the listing agent told my agent to not let this discourage me. He told her I should counter again, the bank was ready to negotiate. I'm not sure I'll get the house for $45k (which is what I came up to) but I thought it was funny.

I've been watching a couple more HUD properties and some other REO's. Again, haven't been making many offers b/c of what I have in the pipeline but will be sending them out with a vengence if I get these condos under contract!

6 comments:

Shae said...

Eileen, congrats! And your realtor is right...same thing happened with me on a property we are rehabbing now. The bank came back with a counter offer only $1K less than the list price but I still managed ultimately to get it for $25K under list so just stay firm and if its meant to be, it will be!

Shae said...

Also...you mentioned selling to qualified retail buyers. So you have a buyers list of retail buyers as well as investors? Will you have to wait for 90 days to sign a contract because of seasoning?

Eileen-WI said...

Hey Shae,

No I do not have retail buyers on my buyers list, only investors. We have 4 showings this weekend with retail buyers and am hoping one will put in an offer. We're offering up to 15% downpayment assistance.

I have never had a seasoning issue when selling to retail buyers (o/o) because they have all used small local banks. Each bank knows what I do and how long I have owned the properties. None have cared! If my o/o buyer is not qualified with a local bank I will have them go through my small local community bank. No issues there... she also knows exactly what I do and doesn't have a problem with it.

Shae said...

Ok, I understand now. And thanks for the tip on the local banks...I keep hearing about these local banks and why we should be using them - here's yet another reason! I've researched all the ones in the area so now I just need to start talking to them once I find my retail buyer on our rehab. I think we could easily be ready at the 2 month mark and why bother waiting longer than necessary!

Steph said...

Hi Eileen-

Congrats on your deals....you are doing AWESOME!!

I've had the same thing happen that you described- bank only comes down a grand or two initially, and then when I counter back they drop the price a ridiculous amount. This doesn't make any sense to me at all, but it has taught me to counter back no matter what the bank's first counter is.

Happy Holidays, and keep up the good work!

Steph

Eileen-WI said...

Thanks Steph,

Yes, things are moving along nicely for us - much better than I had originally anticipated for the year! I told my realtor we need to kick some ass next year so I can prepare my resignation.. ha, ha. No, probably not next year but soon.

I need to get more buyers and have them knocking at my door like you. The ones I do have are good buyers but I just don't have enough. As I said before putting out signs causes my headached with the township so it's hard for me to find new, cash buyers. BUT, I will just keep plugging away and add them little by little!

Next year should be a GREAT year!