{"id":5399,"date":"2008-09-23T13:18:56","date_gmt":"2008-09-23T18:18:56","guid":{"rendered":"http:\/\/magic1host.com\/blog\/2008\/09\/23\/do-low-ball-offers-on-real-estate-really-work\/"},"modified":"2008-09-23T13:18:56","modified_gmt":"2008-09-23T18:18:56","slug":"do-low-ball-offers-on-real-estate-really-work","status":"publish","type":"post","link":"https:\/\/magic1host.com\/blog\/?p=5399","title":{"rendered":"Do low ball offers on real estate really work?"},"content":{"rendered":"
by Jesse Davis<\/div>\n

Normally, the banks set a price on properties way too high mainly because they are in the business of lending, not real estate<\/a>, so a lot of times they do not have a clue. Also, most banks are large and have preset policies of how they lower the price on a property based on how long it has been on the market.<\/p>\n

Realtors (especially REO realtors) play a different game than investors. All of them know what a property will most likely sell for, but they have to give a high estimate of value or they probably will not get the listing. What the banks do is get a few realtors to give them what is called a brokers price opinion, which is nothing more than pics and their discounting the property for certain things. Bottom line: when everything settles, the bank tells the realtor what to list it for, so expect them to be high and do not let that stop you from making offers.<\/p>\n

Well, go ahead and make low offers! You are the one with the cash so you have the power, so do not worry about what anyone else thinks. However, sometimes you may run into realtors who think they are the owner<\/a>. They will discourage you from making the offer because it is too low. You will be the judge of that. If this realtor does a lot of REO business and is trustworthy, you may take their advice and try to build a relationship<\/a> with them. But if you feel that you are not getting the best advice, you may want to politely remind them that they are required to submit all offers. Furthermore, if you think that for some reason the realtor is not submitting your offer (it happens, but very seldom; most are honest, there are a few bad ones), go to the broker and ask for the rejection notice from the bank.<\/p>\n

Most importantly, make low ball offers! I typically start out every offer minimum 10-20k below list price, unless it is listed for like 15k and I know they are not going to give it to me for a dollar.<\/p>\n

For example, if the property is listed at 25, I would not start higher than 15k and see what happens. Sometimes I may even start at 10k or lower, that depends on the house, but definitely low.<\/p>\n

Making offers is what makes dreams come true and changes peoples lives! Start out low every time; when it comes to offers, it is always easier to go up than come down.<\/p>\n

\n
About the Author:<\/div>\n
About the author: Jesse Davis is an expert wholesaler in the Jackson Mississippi Real estate Market. Go here for tips on how to wholesale Real Estate and<\/a> to get a free audio on Wholesaling Real estate<\/a><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Generally, the banks set a price on properties way too high mainly because they are in the business of lending, not real estate, so a lot of times they do not have a clue. Also, most banks are large and have preset policies of how they lower the price on a property based on how long it has been on the market.<\/p>\n","protected":false},"author":1303,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[77],"class_list":["post-5399","post","type-post","status-publish","format-standard","hentry","category-business","tag-business"],"_links":{"self":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/5399","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/users\/1303"}],"replies":[{"embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5399"}],"version-history":[{"count":0,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/5399\/revisions"}],"wp:attachment":[{"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5399"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5399"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/magic1host.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5399"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}