I spoke with the agent for this property again. I told her I noticed that the property was still available and I would like to make another offer on it. She remembered me and said I would have to do "much better" on my offer. I was able to get a bit more information. The listing said the property fell out of escrow and the seller wanted a quick close and had reduced the price $10,000. Based on that, I made the assumption that the owner needed to sell the property in order to complete the purchase of another property. That may not be the case. I found out from the agent that the property is currently empty and the seller is living elsewhere. So the motivation from holding up another purchase is gone, but in its place, there is motivation of holding on to a vacant property. The problem is the former motivation is much stronger than the latter. If a pending purchase is being held up, there is a large, daily motivation to sell, but if the property is vacant, the motivation is more in the monthly timeframe - due to mortgage and HOA payments.
So I'm a bit torn as to what to do. I was planning on submitting another offer about $5,000 higher than my first offer. Given this new information, I'm fairly certain that would be rejected as well. Instead, I think I may wait and see if the property is still available next week, between Christmas and New Years. If it is, the seller should have the prospect of another needless mortgage payment firmly in mind and may be more receptive. Also, during the holiday lull (which is also going on right now), there may be fewer offers to choose from. I suspect the seller may be waiting until after the holidays to see what offers she might get. Hopefully, if Christmas comes and goes and the place is still unsold, her resolve might weaken a bit.
On a different note, I was checking my referrer logs this morning and noticed that over 25% of the last 100 visitors here came via a link at Blueprint For Financial Prosperity. I'd like to thank Jim for the nice blurb and link. Welcome to those that have come from there!
Thursday, December 22, 2005
Holding Off On Second Offer
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Don't know why. It's just a Yes/No configuration switch. Blogger does use the Atom format instead of the RSS format, so that might be one source of the problem. The feed URL is typically blogname.blogspot.com/atom.mxl.
Hi Shaun,
This is the anon from your last post. You can call me FSA, as hopefully I'll have a personal finance blog in a few weeks, once I have time. I've already read through your archives and to reiterate it's been a fantastic read. My wife and I are interested in buying and renting out properties and this is blog has been extremely insightful. Thanks so much.
Ok, I have to ask you.... Where do you find your referrer logs? Are you running something that offers you trackbacks? Thanks in advance!
Very nice site you have here. I will definitely be referring to it in the future as I plan on getting into real estate myself.
Happy Holidays!
Sitemeter.com offers free web stats. That little square rainbow thingy at the bottom of each of my pages is the secret. I actually prefer the stats at www.reinvigorate.net, but they have been re-writing their system for about a year. Supposedly they are about to come back online...
It's a good site, glad I was able to send a few more readers your way. :)
I also came here through Blueprint. Great find, thanks Jim and thanks for the great site, Shaun!
Shaun,
Have you ever dealt with Section 8 housing, and if so how have you fared with it?
Thanks,
Gualberto
Gualberto: I have not dealt with Section 8, but plan too in the future. Check out Trisha's blog (Building An Empire, the link is on the left). She's got a property or two that are going through Section 8.
Jason: My suggested books can be found under the link on the left titled "How To Get Started In REI For Under $400"
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