Careful Pricing Will Aid The Short Sale Agent
Yesterday we chatted about how the BPO disputes are on the climb yet again. We also discussed pricing listings appropriately and making frequent price changes. The list price is especially important. As an illustration, let’s suppose that you list a property at $200,000 and get an offer for that home in the first week or two. When you go to the bank with that offer, the lender may say that the residence is worth $225,000. So, as the real estate broker, what evidence do you have thta the property is not worth $225,000.
We prefer to begin a little more conservative with our pricing. We think you are doing yourself a disservice if you price your houses too low. You will possibly find a few more battles with the lenders. It is not by tradition the best way to get an proposal on the home. However, we don’t necessarily want to get an offer on the home in the first few weeks. When i get an offer after a few weeks, I can show the lender that I had the residence listed at a specific amount and lowered it, and lowered it again. Only after lowering it did the offer come in.
We aren’t looking to NOT get bids or get a absurd amount of money for the home. However, we realize how this game is played. Unlike the REO market where the real estate specialist and his judgment matter, with the short sale market our judgment does not matter.
At the end of the day, the lender may not love what we have to say about house values. However, we are building a case for the proposal by pricing the home properly.
Tomorrow’s thoughts will revolve around advising your clients on whether or not to make their mortgage payments. We’ll demonstrate for you how Group 4610 handles it.
Get powered up by Kevin and Fred at Short Sale Power Hour by the Short Sale Specialists of Arizona
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