Blog, Market, Real Estate, buyers
Cash Buyers Creating Bidding Wars
January 5, 2010 by heighlo · Leave a Comment
We saw this quite a bit in 2009 here in Atlanta - foreclosed properties receiving multiple bids. The winners of the bids are often cash offers from investors leaving would be homeowners scratching their heads wondering how to win the bid. Here is a great article from the Washington Post about Cash Buyers Triggering Bidding Wars.
There are some great options for folks looking to buy and live in the home - such as the HUD programs which allow for owner occupied bids over investor bids for the first 2 weeks of property being listed. The catch on some of these homes is the bidder needs cash to cover any overages and/or closing costs.
I had a client this past fall who successful outbid the other offers on the table with a financing contingency. We went over on the asking price but he has moved in and has a great house in a great area. And though he paid over the asking price, the house was still below what has sold in the area and needed minimal repairs.
Remember the tax buyer credit is still out there!
