Ann Arbor Real Estate Tip: Dealing with Bank Negotiators

We all know that there are no emotional ties between the bank negotiator and the homes they sell. They are looking at bottom line net prices only. So if you walk through a home and hate the carpet or it smells like animal urine, the walls are filled with nail holes, and there’s ½ inch of water in the basement, take that into account when you determine your offer price and/or ask for concessions in the original contract. Asset Managers understand that there are issues that may come up in inspections that were not known ahead of time, but if you write an offer and have it accepted, then go back to the bank and ask for items that should have been noticed and considered in your inital offer, they tend to get annoyed.

In order to make your transaction go as smoothly as possible, make sure you adhere to the following guidelines:

• Do your due diligence. Your Buyers Agent will assist you with confirming taxes, school boundaries, outstanding leins, square footage, etc.
• Make sure you have all facts gathered & inspections completed prior to requesting seller repairs or concessions.
• Include repair bids to expedite the negotiation process.
• Choose realistic closing dates. Underwriters are swamped and new guidelines that are bogging the process, so be sure to allow proper time.
• Listen to your Realtor. They are here to work in your best interest, they know the market, and they can usually get a feel for when you’re hitting the nerves of the negotiator. If your Realtor tells you to stand down on an issue, it’s probably in your best interest to do so. Remember, you’re not fully under contract until negotiations are completed and contingency removals are signed off on, so the bank can refuse to negotiate if you become difficult to work with, and move on to the next prospective buyer.

For many Foreclosure Asset Managers, the only issues that they will address are health and safety concerns. With short sales, often the bank will allow NO repairs or additional concessions. When a purchase is an “as is” sale, inspections done are for informational purposes only – the buyer will have the opportunity to walk away from the sale if the inspection issues are great, but it doesn’t mean that they will re-negotiate price.

As always, Prudential Snyder & Company Realtors are here to assist you with any of your real estate needs. Call us at 734-747-7500 or 734-747-7700 weekdays, or 734-660-0105 evenings and weekends. We’re also available via email at info@prusnyder.com or online at www.prusnyder.com anytime. Choose Prudential Snyder and Company for the best Ann Arbor Realtors!