Banktown Foreclosures

The Multiple Offer Process 

With the best deals that we often find the foreclosure bank / seller will receive more than one offer.  Obviously we'd prefer be the only party bidding on a home or condo, but that often isn't the case.

When an asset manager receives more than one offer they typically ask all parties to submit their "highest & best" offer.  Usually there is a time and date deadline to submit, and from the offers submitted the asset manager, or their agent, will select the winning bid - though they are not bound to select from any of them if they aren't satified with those received. We, as a party making an offer, are not told what the other bids are, so bidding is a blind process.

Of all the scenarios in the foreclosure purchase process, this can be the most stressful or frustrating for the buyer.  Not knowing the prices we are bidding against and not knowing whether we will be winning the bid process creates a very tough negotiating position for the buyer but a preferable situation for the lender / seller / bank.  Avoiding this situations, if possible, is best accomplished by making an offer as soon as possible if the "right" property is found.  Taking an extra day or two often leads to more parties making offers if the foreclosure property is one that will attract many potential buyers and their Realtors.