FMV - REO
Newbie question RE: buyint REO'S - When you go to a REO site and they have their prices listed - it is our job to try to get one apx 65-70% AMV (appraised market value) or ARV (after rehab value) - is that the goal and do they typically come down to that selling level?
1)That is a good target goal depending on your local market conditions. You can pay more in a hotter market if you think you can turn the deal fast.
2) Do they come down? Not usually without a bloody fight. Seriously, it depends on the lender & how good a negotiator you are. You better have compelling evidence & reasons why they should take your offer if it is significantly below what their BPO or appraisal is.