How do I get the bank to pay closing costs on an REO???

The following is an answer to a question I received regarding Buyer closing credits in an REO.

Q;  How do I get the bank to pay closing costs in an REO?

A; There was a time in the last few years that an all cash “low-ball” offer could beat out higher financed offers.  But, In my recent experience, the banks are now looking primarily at their bottom line. Your best bet is to present an offer that is high enough to get the bank the the best pay-off, after subtracting your requested closing costs. Its important for this to be written into the purchase contract, as it is very difficult to ask for any concessions after the contract has been ratified. Continue reading How do I get the bank to pay closing costs on an REO???

The Buying Game: How to Avoid 9 Costly Mistakes!

Allison Norman, Realtor
Allison Norman, Realtor

The Buying Game: How to Avoid

9 Costly Mistakes!

  1. The Wrong House: Too Big, Too Small? Too much land? Fixer-upper (what’s a hammer?) Define your current and future needs now before you buy? Imminent
    retirement, on the road a lot, teens leaving the roost?
  2. Bidding on Bank Foreclosed Properties or Real Estate Owned (REO’s)? What to expect!—I work with a Realtor of 30+ years experience in Sonoma County Real Estate and we work with Asset Managers daily in the sale of Bank Owned, REO properties. We know how to write an offers which capture the attention of the banks!
  3. Title Trouble Traps: Always, repeat always! Get Title Insurance. End of story.
  4. Survey Surprises: Buying country property requires knowing your property lines.
    Even older subdivisions should be looked at hard!
  5. Last Minute Defects: Get all appropriate reports during your due diligence period
    so you have time to negotiate and maybe back out and get your deposits back. Continue reading The Buying Game: How to Avoid 9 Costly Mistakes!

Looking forward to sharing my insights.

I’m thrilled to be able to add my thoughts and insights to Mike’s Blog.  I will be posting my personal insight into this market with a unique perspectuive as a home-owner struggling along with the masses.  I’ll also throw in occasional tidbits of information  and resources gathered from my community involvement with the City of Santa Rosa, as well as fun facts about this great area we live in.  If you’d like to be added to my weekly newsletter email me at AllisonNorman@kw.com  you may also wish to visit my website www.AllisonNorman.com I’ll also will be appearing on the Real Estate Hour on August 30th! Tune me in!

Latest Sales Numbers for July Median down ONLY 10%!

The big news is we hit 500 Sales for the first time since October! Yeah! But we ARE in PRIME TIME so we’d better beat that wild and crazy October sales number.

  • The other BIG news is the median, usually dropping some 25%+ per month is down ONLY 10% over last years median!
  • Sales are up a modest 6.5% mainly due to the LACK of inventory. Last year at this time we had 2600 listings but are limping along in ’09 at just 1574 total homes on the market in Sonoma County!
  • Here’s some other categories and numbers:
  • REO’s or Real Estate Owned-those ‘post’ foreclosure–sales are down 32% over last year!
  • We only have 131 “Active” REO’s! REO’s make up ONLY 8% of the active market but 29% of ALLSALES! Wow!
  • Short-Sales: those with loan amounts HIGHER than the list price-sales have fallen 14% over last month at 86 but are up a whopping 42% over last year! However, the average time on the market is still a huge 176 Days! Of our 1058 in escrow or Continue to Show homes, 645 are Short-Sales! We ONLY have 67 pending which is a firmer transaction!
  • Oddly, the number of VACANT omes is now at 535 of All Active listings and 303 of ALL the 500 Sales or 60%! The foreclosure sales toal 46% (REO’s and Short-Sales”) but 14% more ARE Vacant! Interesting?!!

Listen to Mike and Allison on "The Real Estate Hour", Sundays, 9 to 10am PST, KSRO, 1350AM or 103.5 FM and www.KSRO.com