Upcoming Foreclosures - Say someone is looking to buy a bank owned property, how much should the first offer be?

Say someone is looking to buy a bank owned property, how much should the first offer be?

say the price is around mid 500,000, how much could the first offer be for the bank to take you seriously.

Public Comments

I don't know about whether THEY take you seriously - but this is just me: If I make an offer....I'm serious - whether or not they think so - that's their problem - I'm only interested in people who take me seriously, and if not them, I'll just take my business elsewhere..... Try this: Ask "What's the lowest you can go?" They tell you a number. "You can't go ANY lower than that?" "That's it - rock bottom....?" "So....if I was to offer you 50 thousand less than that you wouldn't take it?" See what happens....
It depends on how long the bank has been trying to sell the property, how many price reductions there have already been, and how much interest the property is generating. The better question is how much is the property worth to you? What are comparable homes in the area selling for? What are the market conditions, and how long does it take to sell houses in the area? You need to have these things in mind before you start the negotiations. If you are able to gain any information on the above factors, that may help you determine a starting price. If the house has been sitting awhile, they may take substantially less. If its just been put on the market then its probably going to take closer to a full price offer. Not knowing a lot of the details, I would figure a range of $450,000 to $525,000.
Pretty close to 500k, with at least 100k cash. They get a BPO before they price them. They do not care if they have to wait a year for a decent offer. You only get one offer. Banks will not play games with you. Make your actual offer the first time around, there will not be a second.