Bidding on forclosed homes?

Question

I kind of understand how it works, but how does the bidding on a property usually go, when I see the list price, does it usually go way higher? or do you enter a bid below the list price? any help would be appreciated thanks!

Answer 1

YOu can buy the house at the "original" auction at the courthouse steps but you must pay cash.

You are talking about buying a house that the bank owns.  I always offer a lot lower and i always get rejected.  I'm not giving up, tho.  There are a million houses for sale.

If more than 1 person bids, you will be paying over the asking price./

Answer 2

Usually the banks win, as they bid their reserve.    The end price depends on the reserve, but usually no one bids higher then them.

Answer 3

You’re talking about putting in an offer on a home after a bank has assumed ownership & has listed with a real estate agent? It’s not that vastly different from buying from a private owner.

On any home, I have my buyer’s agent run a CMA to see what properties in the area have recently sold for. We talk about how the other homes compare in condition and amenities to the home I’m interested in. We tour the home and try to get a sense of its condition and what work might be required. I might even try to get a contractor or two in for an estimate (though they’re not always willing to give #s at that stage of the game…) so that I can factor those costs into my offer.  

Whether a home goes for over or under asking price is really dependent on how well it was priced in relation to the area & needed work.