Making offer on foreclosure home to bank, what are the chances?

Question

We recently put an offer into a bank and bid 80,000 on a home that they have listed for 99,900. In this month of July alone our county has almost 900 foreclosure homes coming onto the market. What are the chances that the bank may accpet our offer? The home has been on the market 125 days. We gave them 5-7 business days to respond..do they usually respond right away or will they wait until the final day? I don't know if I can wait that long, it's eating me up inside =) Any help would be much appreciated, thanks

Answer 1

They will respond, but no one here can tell you if that is reasonable.

Banks don't make decisions on offers based on the information you have listed.  The amount of the foreclosures in an area is 100% irrelevant...what matters is what they are selling for vs what the mortgage balance is on that particular property.

It's all about math and statistics.

125 days is not that long for a foreclosure..banks will wait a year or longer.

Yes, you can wait that long b/c it's not under your control.

PS:  I sure hope you did the offer contingent upon getting a clear title....this is a huge issues with foreclosures and you could get the property only to discover it has tons of liens and back taxes on it.  Banks WILL NOT automatically clear title..you have to request it.

I hope you did your homework.

Answer 2

One of my co-workers did the same.  She waited, I believe for a week before she heard anything.  And she knew she got the house (the website she found the house at updates frequently so when she saw her bid amount she knew she got it and just needed confirmation from the bank)

Good luck!

Answer 3

It's good but banks take FOREVER to get back to you so deep breaths and be patient. They normally take 10 working days to do anything.

Foreclosure homes are tricky... when end up having to pay the asking price because the bank won't lower the price but we paid 102,000 for the house and found out the people owed $250,000 on it!!  When fixed up the house will be valued at $260,000 easy...  Basically the bank researched that the land with NO house on it was worth 102,000 so they won't take less then that.

Good luck, are settlement date just got pushed back because the title is messed up.  Make sure you get the title cleared, and even check with the township to make sure nothing is owed in water, gas and electric.... I found out the water bill is several hundred dollars past due- the bank will have to pay it at closing.... but check everything because banks miss things- and I would have gotten stuck not being able to have the water turned on!

LOL- I hear you, my contract said the same thing and they called me on the 7th day and told me they need 14 days to look it over!

Answer 4

The bank will take 7 working days at least. The REO department is slammed at all banks. I think you have a decent chance unless the investor wants the property or there is a higher offer.

Good Luck!

Answer 5

Each lender seems to be doing things their way. I found out yesterday just how naive I am, thinking they would take an offer, consider and respond. Nope, they take the offer and sit on it hoping to get more offers. Then they gather them together and take the best one.  This practice isn't fair to anyone!

Answer 6

The bank will probably wait until the last day to respond to your offer because they want to see if any other offers come in.  It's hard to say if they will take your offer or not.  My guess is that they will counter-offer if no higher offer comes in during the 5 - 7 days.  The bank wants the highest price they can get so if another offer does come in before they come to an agreement with you they will probably try to get the two of you into a bidding war.  Decide now how high you are willing to go on that particular house so when the Realtor calls you'll know whether you want to go any higher or not.  Other than that, try to do things to keep your mind off it.  It's not worth letting it eat you up inside.

Answer 7

YOU gave THEM 5-7 business days?!! They can & will drag this out. When trying to buy a foreclosed home, you have to have patience. If you can't wait that long, you are purchasing the wrong kind of home. It can take months because they have to get approval from the loss mitigation department, and the home that you want to buy is not the only one they are concerned about.