In July, over half the offers we presented to listing agents in Southern California were on homes with at least one other offer.
To Angela Creech, our all-star agent in Orange County, this number seems low, “It feels like all my clients are trying to buy homes with other offers. Right now, pretty much every bank-owned property has multiple offers.”
Angela recently submitted offers on these two bank-owned homes:
- $327,000 home
- 20 offers after 4 days on the market
- Will probably sell for around $375,000
- $789,000 home
- Multiple offers after 2 days on the market
- Will probably sell for around $815,000
Tips For Bidding On A Bank-Owned Home
Anyone interested in a bank-owned home should follow Angela’s advice and show the sellers you’re serious and make your first offer your best. Specifically, you want to make an offer that is clean and competitive:
- Make a sizeable down-payment. If you can, put at least 20% down.
- Include an earnest deposit of 3%.
- Reduce inspection contingency periods from 17 to 10 days.
- Don’t ask for closing costs or put anything under “Items To Be Included.” Let the sellers keep their fridge, range and pretty set of patio furniture.
If you’re looking at bank-owned homes in Orange County, keep in mind that these properties are aggressively price to attract a lot of buyers. This works for the banks, bank-owned homes sell for at least the asking price, if not over it.
What are your experiences bidding on homes with multiple offers?