Need Advice on Financing This Deal

[kdhastedt]

You're not dealing with motivated sellers.  I would tell them:  "I have found another property...I like yours a whole lot better but I need to move forward.  Please make a decision on the full-price offer that I made against YOUR asking price or I am going to withdraw it and move on to the next property".  Then do it.  Leave your contact info...I bet that if they don't accept your offer, that they will call you back.

Keith

[carlosguti]

When you make an offer always try to keep it below what they are asking for because they will think they are asking too little [as in your case].  Even if it is low, try to go lower for the same reason/

Also good point on writing a deadline, so they don't get to shop around!

-Carlos

[Mackie]

Is there a rule of thumb on how much below asking price you should offer?

[carlosguti]

I would say about
$3,000-$5,000 if it's close to what you are willing to pay for it.

Also try to stay away from price:

1. Try to ask them how much they want to walk away with $.
2. Ask this question after you know how much they owe on it.

This gives you an idea on what to offer, not focusing on Price.\

-Carlos

p.s When asking these 2 questions above, don't ask them at them these one after another, because it eliminates it's purpose of staying away from price.

[san1tnh]

Thanks again for the advice. Just a few notes. I started at 105,000, then 110,000 and had no bites from the sellers. They basically said 115,000 and no less. I offered the 115,000 because I know the room I have to work with. I believe they then told the next potential buyer of my offer of 115,000 to get them to offer 120,000. This is where the price is now. This property will sell for $190,000 to $200,000 ARV. It's a hot area and not many homes for sale right now. This is one I don't want to slip through my fingers if possible. Please keep the suggestions coming. The sellers told me they were going to make a decision by the end of August. I want to make them decide before then if possible; of course in my favor. What are some other seller incentives I can offer that will set me apart from other buyers????

[carlosguti]

Offer him that $121,000 plus to pay all his closing cost (not taxes) just closing cost. Also you want to make sure you put in the contract, that you will need to inspect the home first.

Give him this offer good for 24 hours, 12 hours if he is working with a realtor.


-Carlos

I think this seller is offering his home as an auction, and just waiting it out. the problem is you dont know how long he wants to wait. SO ask him WHEN is he going to decide for sure, then put your bid in!

[Chris2006]

Hello, Have you found your financing for this project yet? With your offer going up, that of course, is changing your original figures. But I'm sure that you have a set budget. It sounds like you will want to move on this project ASAP.

[Mdhaas]

great info on this thread!

[Critical-Mass]

Is there a rule of thumb on how much below asking price you should offer?

3-5% below asking is what I have seen in my market, if the price is accurate and fair market.