New To Foreclosures
I just had a real estate agent/friend/neighbor tell me about a foreclosure that he is listing and accepting bids on.
The property is valued at 69,000 and asking price is 54000.
I know pricing depends on a number of factors but is there a price range or percentage that you guys go by when placing an offer on foreclosures?
Do you have to have financing available since the bank is selling it?
Is it possible to place a bid and if I win assign it to another investor with cash?
Thanks...
Please post the answer i would like to know too
I know pricing depends on a number of factors but is there a price range or percentage that you guys go by when placing an offer on foreclosures?
This is all up to you. You need to figure out what you are going to do with the property after you buy it and then run the numbers to see what kind of profit you are looking for.
Do you have to have financing available since the bank is selling it?
You will still need financing. Some banks will not finance their own REO properties.
Is it possible to place a bid and if I win assign it to another investor with cash?
This is called wholesaling. To make this work you need to make sure that whatever price you get it under contract for allows enough room for another investor to profit. Also sign the contract your name and/or assigns. However every REO property that I have seen, have clauses in the contract that prevent them from being assignable. This is to ensure that the bank gets all it can without a middleman involved.
Hope this helps some.
Kris
New Orleans