I have spent about 5 weeks chasing foreclosure deals in my farm area. My first offer lost out to a higher offer. Fair enough. I have limited cash to buy a 3-2-2 home with 20 K left for repair and unexpected problems.
The more the market rises, the tighter my prospects get. I've found 4 HUD homes that I could maybe buy and maybe make a little money on. I find them before the owner occupied period is up, do what I thought was due diligence, and schedule a tour on the first day the listing is open for investors. I am very careful with my agents time.
I guess I don't have to tell you old pros what's happening to me and my agent. 3 of the last 4 inspections were cancelled while I was measuring the foot print of the house early. The last one I was able to inspect, mentally rehab, and build an itemized estimate of costs, but was again unable to make my offer.
Sat. as I surveyed the neighborhoods around my prospect, at least six sets of investors drove by and stopped, one with an appointment to view. He waited about 45 minutes before going to his truck to call his no show agent, then drove away without sharing whatever he learned.
When I was a kid and another kid tried to steal my milk money, I learned to punch them in the nose. I don't actually punch anyone in the nose anymore, but when they steal my gas and prospecting money I feel like it!
I understand why an investor would want a pocket deal. I understand why a listing agent would want 6% instead of 3%. I don't understand why the buyers agents, who are members of the same gang, would let the listing agents do this to them.
I'm told the listing agent is not answering phone calls.
Can an investor present his cash/ high earnest money/no contingent offer early so the pocket investor will at least have to pay that price or do we have to wait until the pocket deal is a "done deal"?
I guess I was just stupid to take so long to figure out what was happening to me, but if anyone wants to share their thoughts on this subject I would appreciate it.
