Speechless Sunday

Understanding the Bidding War with a REO

The recent experience of a bidding war with a bank owned property (REO) has brought to my attention the fact that as much as we write about short sales, forecloures, and bank owned properties, we're just not getting the word out to our clients.

With that in mind, here are some important facts that we need to know; that we need to pass along to our buyers; that the general public needs to know prior to becoming involved with a REO purchase.

1. Writng an offer on a property with your Realtor(r) does not constitute a contract! You must have signatures from both the seller and the buyer on the contract for it to be binding.
2. A verbal counter offer is excellent to have, but not binding. It must be followed up with that all important contract, signed by both parties.
3. Very Important: Until the bank returns your offer with their counter, and they will always counter using their documents, you are not under contract, and
4. They have the right to accept any other offer that is submitted

And this is how the bidding war begins. The bank is now holding two offers, that are just about identical, which is just a coincidence, we hope. They can't decide which one to accept, so they issue a "Highest and Best" request.

"Highest and Best" request is a one-time shot for you to obtain this property. So, give it your best offer. Here's what you need to do:

1. Clean up your offer by
   b. Removing all seller concessions
   c. Tightening up your closing date
   d. Changing your finanacing to conventional, (it's easier to fund)
   e. And bringing your very best monetary offer
2. Then, wait to hear back from the bank

If you have done everything in your power to make your bid your "Highest and Best," you might just get the home! However, if your offer was beaten by another, it's sad to say, but your desire for the home just wasn't as great as the desire of the other party.

 Here's cute little video about the bank owned purchase process...

In Memoriam - Junko Brackin

My Dear Friend...you will be missed.

Biography

Junko Kawada Brackin
Jan. 19, 1949 - Oct. 6, 2009

Junko Kawada Brackin was born on January 19, 1949 in Tokyo, Japan to Koichi and Sachi Kawada. Junko married André P. Brackin in November of 1986 in Coronado, California. Junko also was a devoted mother and treasured by her son John P. Witkowski, daughter Ann Witkowski, grandson Leopold Singh, and her extended
family in Virginia.

Junko was a talented potter and bamboo basket maker, and was happiest when making art. Junko loved the natural world and could turn the simplest things she found into her art. She participated in many organizations including
Colorado Basketry Guild, The Clay Center Studio, Commonwheel Artist's Cooperative, the Colorado Springs Pottery Co-Op, and enjoyed taking classes at the Colorado Springs Senior Center. Junko loved animals, and enjoyed raising her
chickens and cows at her home in Calhan, Colorado with Andre.

Junko was preceded in death by her mother, Sachi. In addition to her husband, children, and grandchild in the U.S., she is survived in Japan by Koichi Kawada (father), Hideharu Kawada (brother), Daisuke Kawada (brother), and Kumi Kawada
(sister).

Junko was a unique individual, with a kind and gentle soul. She will be missed greatly by all who knew her.