Upcoming Foreclosures

What % of the asking price should I offer on bank owned residential properties in metro Atlanta?

What if they say that the price is firm? For the Atlanta market do I have leverage to still offer a percentage of the asking price on bank owned (foreclosed) properties. Would I still have a chance to get a binding contract on it? I am speaking in general terms.

Public Comments

1. Weather your buying for yourself or as an investment, start low. you can always go up. Depending on the area and how long it's been on the market should give you some idea where to start. The listing agent will be a good resource for this info. If there are multiple offers on the property, you'll have a chance to raise your bid. if not, you may be able to save yourself a few grand. Good luck.
2. You don't go by percentage of the asking price. You will have to find what is called "comparables," which shows the sale price of similar properties in the area in recent months and make your offer accordingly. Usually, bank owned (meaning reposessed) properties have a fixed price that is already lower than market, and are usually not negotiable. BUT, you could always ask.
3. You need to find comparables of recent sales to determine what price is appropriate, just as you would purchasing real estate which is not REO. Contrary to what the first respondent stated, you probably will not get a chance to raise your offered price if someone tenders an offer which the lender finds acceptable. You can always raise your offered price if yours is rejected, but if another better offer comes in before you get a chance to raise your offer, the lender will most probably accept the best offer without notifying you.