Today at 10:00 this morning is the deadline to submit your "bid" on one of our offices foreclosures. At 9:49 a man walked in breathing heavy as he had just ran from his vehicle to make sure he crossed the threshold of our front door. He literally stuck his head in my office and said.. "I'm here, it's before ten!"
I had no idea who this man was.
He then proceeds to hand me a hand written offer that he calls legal and binding. He wrote it up on a piece of notebook paper that he had yanked out of a spiral notebook. He then asked me to sign it to prove that it was submitted BEFORE TEN. (didn't happen)
Here's what you should know.
1. No offer will be accepted on any property (that I'm aware of) that's sumbitted in this manner. Not in this solar system anyways.
2. I've NEVER seen a cash offer be accepted without proof of funds.
3. No bank foreclosure will accept this type of offer. You have to sign addendum's, contracts and office disclosures.
4. Your offer must be submitted online with or without an agent. Probably best to use an agent so you can understand the process/mkt conditions/negotiating strategy and so much more.
5. IF you REALLY, REALLY want a property do things correctly.
This buyer assumed that I would process his sheet of paper and provide him a response by today. He had hoped that I could secure the property for him.
I didn't write up an offer on his behalf. He came storming in without an appointment, without the proper paperwork, without having seen the property and without the slightest idea on how the process worked. Well, I take that back... he said his banker told him to offer 1k above the list price to "ensure he got the property."
My departing words to him were that he should enlist the help of an agent for the purchase and a banker who is wise enough to stick to what they know ... and that's BANKING. You would think a banker would have advised this man how a foreclosure bidding war works before shipping him down the primrose path so to speak.
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Wow. That's all I have to say about that.
Consumers think they know. They have a ways to learn, dont they?
That's just scary. Another infomercial strikes again.....
Loreena,
You know, If I was going to spend a big chunk of cash on something that I had never done before I'd at least spend 5 minutes on Google researching how to follow through appropriately.
Too many folks watch midnight TV.... they don't realize that the real world does not work they way it's portrayed on TV infomericals.
That guy was actually another referral from me. You blew it!
SERIOUSLY?! Dude, that is one of the funniest stores I've heardin the last 12 months. Classic.
Did his name happen to be Carlton Sheets?
Curse you Sardi! That was going to be my comment... and, once again, you've stolen my idea and claim it as your own!!!
That's awesome. I wonder what makes someone not only act like a fool, but think that it's acceptable to do business that way!
Sorry Craig. As I say, "If you can't be great, at least copy it."
Soooo, an offer on a sticky note no good either? What if it's 10k above asking price? Come on, give a guy a break. Hahahahahaha...
Well, I hope you were nice :)!
He probably stormed a phone call into a bankers office to see how best to win a bid. The answer bid 1K over the asking price... the banker most likely got the same bums rush you did and did not even know that he was going to do what he did to you!
Greg, that's just crazy! I can't believe that in this day and age he didn't know how to properly submit an offer or at the very least ask a professional how to do it!
At least it wasn't written on a cocktail napkin from Spit on The Floor Saloon.
Sadly in Indiana, if it is written down on paper and the buyer and seller sign it it is binding. Not recommended of course, but legal. Even with a fully executed purchase agreement the banks addendums have to be signed. So a purchase agreement doesn't make a whole lot of difference, again in Indiana.
I have encountered a few of these completely clueless buyers... it blows me away. Really. Kathy
This is too funny! I once rec'd a call from a buyer that I had never met that wanted me to submit 7 offers on properties and it was to all be done via fax.
Was it a valid offer? Probably. Was it going to work in that situation, probably not. I'm sure your listing, like all REO's, had detailed instructions on the only way an offer could/would be submitted and accepted for that listing. It is a funny story, though. :-)