Neg's with stubborn banks!
- Thread starter JWR
- Start date
It's not about the money per se - it's all about mentality. The fact that you've been trying to negotiate this property for a while even after submitting low-ball offers just leaves a bad taste in the vendor/agent's mouth - and makes them harder to deal with. It's always easier to do business if each party is being reasonable - and mortgagees are never unreasonable when they are in possession.
i have negotiated with banks and the dept of housing generally speaking they sell cheap but have a limit and once you hit it it becomes harder to go under.
You can put a good offer (e.g. not 1 million conditions) on the table with comparables and suggest they do a review of there price but thats about it you can't always play the same game you play against humans.
You can put a good offer (e.g. not 1 million conditions) on the table with comparables and suggest they do a review of there price but thats about it you can't always play the same game you play against humans.
So you think I should've gone in at 130k instead of 120k to start?
I regret not doing this as I think what you are saying is correct - they started to get annoyed after the first offer was so low.
Normally that 120k offer would be too high for me! Just dealing in different markets I suppose.
I regret not doing this as I think what you are saying is correct - they started to get annoyed after the first offer was so low.
Normally that 120k offer would be too high for me! Just dealing in different markets I suppose.
Warren Buffett never pays over the odds for even the best companies.
He is not even happy with underpaying.
Unless he is severely underpaying he won't look at it.
I am somewhere between underpaying and severely underpaying (at 125k it would have been severely).
I guess I will have to go out and paint the house to make up for the 'overpaying' in my eyes.
Don't worry Aaron- you can help too
lol
He is not even happy with underpaying.
Unless he is severely underpaying he won't look at it.
I am somewhere between underpaying and severely underpaying (at 125k it would have been severely).
I guess I will have to go out and paint the house to make up for the 'overpaying' in my eyes.
Don't worry Aaron- you can help too
lol
James, you will not get early access with a MIP sale.
You will not get tenants in there prior to settlement and even if you do, you won't be keeping the rent. You cannot legally lease a property to tenants when you don't own it.
You will not get tenants in there prior to settlement and even if you do, you won't be keeping the rent. You cannot legally lease a property to tenants when you don't own it.
We did ...sorta of..but not quite.
We purchased a property which was tenanted, and way under market rent.The owner was a very naive landlord, and the outgoing tenant had just left the place in a terrible mess.
We had planned on doing minor renovations, such as laying new laminate and painting, and some tiling.
The current owner allowed us, quite willingly, to secure new tenants, at an increased rent, naming him as the Landlord. He would keep any rent, until settlement date...which was about 2 months total.
By the time we took ownership, the place was cleaned up, new tenants that we picked where in place, and at an increased rent.
Once we took ownership, we received the rent.
A good compromise.
More to the story...not all pleasant...but the above part is the relevent bit.
We purchased a property which was tenanted, and way under market rent.The owner was a very naive landlord, and the outgoing tenant had just left the place in a terrible mess.
We had planned on doing minor renovations, such as laying new laminate and painting, and some tiling.
The current owner allowed us, quite willingly, to secure new tenants, at an increased rent, naming him as the Landlord. He would keep any rent, until settlement date...which was about 2 months total.
By the time we took ownership, the place was cleaned up, new tenants that we picked where in place, and at an increased rent.
Once we took ownership, we received the rent.
A good compromise.
More to the story...not all pleasant...but the above part is the relevent bit.
He could....but he would be renting it from the owner..then subleasing it.
I could still get tradies to come in though right? I will just be a 'tradie' too.
It is vacant possession at the moment so there is no reason to not allow me in early.
As for getting renters in early - I will propose it to the REA then the conveyancer and if it cannot happen can I just offer xyz weeks free rent until settlement (and have the rent bumped up as a result)?
It is vacant possession at the moment so there is no reason to not allow me in early.
As for getting renters in early - I will propose it to the REA then the conveyancer and if it cannot happen can I just offer xyz weeks free rent until settlement (and have the rent bumped up as a result)?
it sounds like you want everything your way.. lower price, longer settlement, early access... and that you are asking for these one at a time, which will be frustrating for the vendor.
What are you offering as a sweetener to get these better conditions?
I think you also need to decide what is most important to you, and focus on that... price, early access etc. I dont think you'll be able to get everything, so you need to decide what to compromise on.
In our case, we asked for longer settlement and early access for reno's, but gave the vendor access to the deposit. It was all included in our original offer, so the offer could be considered in totality.
I would think for a mortgagee sale, the bank would be looking for a fast settlement.... and a purchaser who was minimum fuss. (I think most vendors want low-fuss purchasers, and I think this is where you are not presenting yourself in the best light. We have knocked back good offers from people we perceived as likely to be high maintenance)
What are you offering as a sweetener to get these better conditions?
I think you also need to decide what is most important to you, and focus on that... price, early access etc. I dont think you'll be able to get everything, so you need to decide what to compromise on.
In our case, we asked for longer settlement and early access for reno's, but gave the vendor access to the deposit. It was all included in our original offer, so the offer could be considered in totality.
I would think for a mortgagee sale, the bank would be looking for a fast settlement.... and a purchaser who was minimum fuss. (I think most vendors want low-fuss purchasers, and I think this is where you are not presenting yourself in the best light. We have knocked back good offers from people we perceived as likely to be high maintenance)
